Apple shares are up around 3% in after-hours trading, following the company’s fiscal Q3 2025 earnings report, which topped Wall Street expectations.
Wall Street cautiously optimistic on strong earnings
A few moments ago, Apple posted $94.04 billion in revenue for the June quarter, up 10% year over year, and ahead of what analysts had projected.
Still, the market response has been measured, with shares up around 3% after hours. This could suggest investors had largely anticipated a strong quarter, and are now turning their attention to what executives are saying during the ongoing earnings call.
Despite the mild bump, Apple stock is still down about 14% year to date and has remained mostly flat since April, weighed down by lingering uncertainty around the company’s AI strategy, as well as ongoing tariff and regulatory pressures.
While Apple announced new Apple Intelligence features at WWDC in June, the rollout since has been sluggish at best. Behind the scenes, internal turbulence, including leadership shakeups and a wave of departures, has left the market looking for a more cohesive roadmap.
Tariff uncertainty has also been part of that drag.
With Apple now confirming an $800 million hit in Q3 and flagging a potential $1.1 billion impact in Q4 (if trade policies stay the same), the market at least has some visibility into the scale of the headwind.
However, as Tim Cook put it, “this estimate should not be used to make projections for future quarters, as there are many factors that could change, including tariff rates.”
This means that while investors now have a clearer picture of the near-term impact, the outlook beyond the next quarter remains uncertain.
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