Schwab Network on $AAPL (Nov 3, 2026)
Apple's numbers were pretty good, with record quarterly revenue of $114.5B, but memory prices are hurting forward margin guidance and that is pressuring the stock after a high valuation (near 40x PE, ~36x forward) set a high bar; shares fell about 4% premarket.
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So that is the big picture and we did see a little bit of pressure on both Apple and Palunteer
What about the Apple earnings? I know John Turnis has noted the costs of memory chips and such, but overall I think they're being viewed as some good numbers, but the stock itself is under some pressure.
Yeah, stocks down 4%. And if you watched Fast Market and you watch the Swab Network, we've been talking about this for a while that Apple's valuation was a bit high near 40 w with their PE and their forward PE around 36.
So, they needed good numbers. Well, they did put up pretty good numbers. However, however, memory prices are hurting margin guidance. The margins for this quarter were okay, but the margins that they guided for in in the future will I think is what's concerning investors, Nicole.
So, yeah, pretty good numbers. If you look, quarterly revenue hit a quarterly record 114.5 billion. Uh so the full year 2026 revenue $478 billion net income was 30.7 billion so uh up 14% $210 a share so it was the guidance that is really affecting Apple and we'll watch how it plays out because you know the stock hit as high as 348 so it's down about 4% pre-market we'll see where it goes but uh yeah it was to sum up Apple very quickly.
Memory prices are hurting the margin guidance going forward. That's shaking investors just a little bit. But like I said, the valuations, it's had a nice run up to here. The bar was pretty high.
So, it wouldn't have taken much uh to shake Apple a little bit here. And the margin guidance is what did it, Nicole?
such a different picture than some of those other mag seven names you were talking about. um the capital raises that we've been seeing from the likes of Google and Meta and you know how much the capex spending in AI and sort of Apple's been a bit sort of insulated from that story and so sometimes that's good and sometimes not but in this case it's been good news because it hit some new all-time highs just recently but has pulled back a bit
And, you know, it's interesting. Uh, yesterday Dan Ives was speaking and he was talking about what names to own for the next five years and that the tech selloff was a bit of a gut check.
And he had both of these names that we just discussed, Apple and Palunteer. It's two names that he liked for the next five years.
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