Apple’s Strong Performance Amid Tech Downturn
Apple Inc. (NASDAQ: AAPL) reported a 16% increase in quarterly revenue for its fiscal Q1 2026, generating net income of $42.1 billion, up 16% year-over-year. The company attributed its success to “unprecedented” demand for the iPhone, which saw record sales in all geographic segments. Despite a broader decline in the tech sector, with the Nasdaq-100 down 3% year-to-date, Apple has managed to rise 1.5% this year and 36% over the last six months.
In contrast to major tech companies like Alphabet, Amazon, and Microsoft, which have faced significant losses due to heavy capital expenditures on AI infrastructure, Apple has maintained a more conservative spending approach, with only $12.7 billion in capital expenditures last fiscal year. Consequently, Apple has positioned itself as a hardware-centric company amidst growing skepticism surrounding AI stocks.
