The stars are aligning unusually well for Apple. The iPhone maker has simultaneously locked in a record stock close, claimed the top spot in global smartphone shipments for the first time, and is deep into an internal reorganization of its hardware division — all while investors count down to what promises to be the most AI-heavy developer conference in the company’s history. The combination has pushed the share price to a fresh all-time high of €266.20, a gain of 1.4% on Friday alone.
That record caps a 49% advance over the past twelve months and a 15% year-to-date climb. Yet the rally has been built on more than just sentiment. The second fiscal quarter delivered revenue of $111.2 billion, up 17% year over year, with earnings per share of $2.01 coming in ahead of Wall Street’s estimates. Net income reached a March-quarter record of $29.6 billion. The iPhone franchise was the star, generating $57 billion in sales — a 22% jump fueled by the iPhone 17 cycle. Gross margin of 49.3% also edged above the company’s own forecast.
Meanwhile, the board authorized a $100 billion share buyback on April 30, adding to a capital return program that has funneled over $1 trillion back to shareholders since 2012, roughly $850 billion of that via repurchases. CFO Kevan Parekh has quietly dropped the long-standing target of a net-cash-neutral balance sheet, giving the company more latitude to manage its capital structure.
Behind the numbers, a leadership transition is underway. Tim Cook will move to the board on September 1, handing the CEO reins to John Ternus. To prepare for that shift, Apple has restructured its hardware leadership. Johny Srouji has been promoted to Chief Hardware Officer, tasked with accelerating device development by more tightly integrating the chip design, product engineering, and AI teams. The product design function now falls to Shelly Goldberg and Dave Pakula, long-time deputies of Kate Bergeron. The moves signal a push to bring future hardware to market faster, with a particular emphasis on custom silicon and on-device intelligence.
The timing is deliberate. The Worldwide Developers Conference runs June 8–12, and this year’s edition is expected to be the most AI-loaded in Apple’s history. According to reports from analysts including Bloomberg’s Mark Gurman, the company is preparing a radical overhaul of Siri under iOS 27, turning the voice assistant into a full-fledged chatbot to rival ChatGPT, Claude, and Gemini. System-wide AI features and possibly new Mac hardware are also anticipated. It will be Cook’s last keynote as CEO.
Should investors sell immediately? Or is it worth buying Apple?
Apple’s market position provides a solid backdrop. Counterpoint Research reported that the company captured 21% of global smartphone shipments in the first quarter, tying with Samsung but outpacing it in growth — Apple’s volumes rose 9% while the overall market contracted 3%. It was the first time Apple has ever led the global smartphone market in a first quarter, a period when Samsung typically gains from the launch of its Galaxy S series. The iPhone 17 was the world’s best-selling model, with the Pro Max and Pro variants taking second and third place. In revenue terms, Apple’s smartphone business grew 22% in the quarter, the fastest among the top five vendors, even as industry-wide handset revenues rose just 8%.
That pricing power has helped Apple protect margins, but executives warn that the memory chip shortage will eventually bite. DRAM and NAND suppliers continue to prioritize AI data-center customers, pushing up component costs. Cook has flagged that rising memory expenses are likely to hit Apple harder later in the current fiscal year, and Counterpoint expects the supply squeeze to persist into late 2027. The company’s ability to sustain its margin profile while absorbing those costs will be a key test.
Technically, the stock shows no signs of overheating. The relative strength index sits at a moderate 43.9, well below overbought territory, while the share price trades 18.56% above its 200-day moving average. Over the past 30 sessions, the stock has added 14.2%. Among 29 analysts polled, 18 rate it a buy, 10 a hold, and one a sell. The average price target of $318.75 implies roughly 6% upside from current levels.
The market capitalization is approaching $4.5 trillion, and the trailing twelve-month price-to-earnings ratio of 36.1 stands well above the five-year median of 29.9. With WWDC just weeks away, the next catalyst is clear: Apple must now deliver a credible AI roadmap that justifies the premium valuation. The internal hardware reset has laid the foundation. The products will need to follow.
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