Apple Q4 Preview: All Eyes on iPhone 18, Dan Ives Says Company ‘Has the Demand Backdrop to Deliver’

Apple Inc (NASDAQ:AAPL) kicks off the week with fiscal fourth-quarter results Monday after the market close.

Here are the earnings estimates and why this report could carry "extra weight" for the company.

Apple Q4 Earnings Estimates

Analysts expect Apple to report fourth-quarter revenue of $113.39 billion, up from $102.47 billion in last year’s fourth quarter, according to data from Benzinga Pro.

The company has beaten analyst estimates for revenue in 14 straight quarters.

Analysts expect Apple to report fourth-quarter earnings per share of $1.99, up from $1.85 in last year’s fourth quarter.

The company has beaten analyst estimates for earnings per share in 14 straight quarters.

Read Also: Apple Stock: 64% of Benzinga Viewers Have Owned It. Here’s How Many Still Do

Dan Ives on Apple Stock

Leading tech analyst Dan Ives of Yorkville Ives sees Apple’s upcoming report as an important one, saying it "carries extra weight" as the first earnings call with John Ternus as CEO.

The analyst maintains an Outperform rating on Apple with a price target of $400 ahead of earnings.

The quarterly results and commentary will also capture nine days of iPhone 18 Pro and Pro Max sales, a key factor in Apple’s future growth.

"The September numbers are the appetizer and the December-quarter outlook is the main course, as it covers the first full period of iPhone 18 demand and the iPhone Duo launch," Ives said.

While the iPhone Duo launch, which went on sale Oct. 23, won’t be part of fourth-quarter results, Ives said it’s important to see how Ternus "frames supply, memory costs, and the holiday quarter."

"This is the Street’s first chance to hear Ternus set priorities on AI, product cadence and capital allocation."

Ives said Ternus will likely lean into Apple’s product roadmap as a key story.

The analyst said expectations are high for the quarter with iPhone revenue expected to be up 15% year over year and Services revenue expected to be up 10%.

"The Street is already leaning into a strong quarter, and we believe Apple has the demand backdrop to deliver on it, with the outlook setting the tone from there."

Ives said the three key items for Apple’s conference call are commentary on iPhone supply and demand, gross margins and Siri AI/Services.

The analyst said AI monetization could add 15%+ to Services revenue in the coming years. Overall, Ives sees AI monetization worth $75 per share for Apple.

Apple Stock Price Action

Apple stock is down 1.1% to $340.71 on Monday versus a 52-week trading range of $243.42 to $351.73. Apple shares are up 25.7% year to date.

Read Also: Dan Ives Sees More Upside for This $5 Billion Cybersecurity Company: ‘Moved From Pipeline to Proof’

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