Apple's fiscal Q4 2026 revenue and EPS beat, but December-quarter margin guide slips on memory costs

Apple reported fiscal fourth-quarter 2026 results after the close on Monday, November 2. Revenue of about $114.5 billion rose 12% year on year and cleared consensus near $113.4 billion, while diluted EPS of $2.10 topped the roughly $1.98 expected, including a 5-cent tariff-refund benefit. iPhone and Mac grew strongly, iPad and wearables declined, and Services reached a record of about $31.6 billion. The main negative was guidance: December-quarter gross margin is expected at 45% to 46%, down from 47.9%, mostly from higher memory costs. Fiscal Q1 2027 revenue growth is guided at 7% to 10%. Shares closed lower on Monday and fell further after hours. Valuation views are split: MoffettNathanson's Craig Moffett called the roughly 36-times forward earnings multiple demanding, while Bernstein's Mark Newman described Apple as a defensive holding with lower AI capital spending.

1. Fiscal Q4 2026 revenue about $114.48 billion, up 12% year on year, versus about $113.39 billion expected
2. Diluted EPS $2.10 versus about $1.98 expected; includes 5 cents from tariff refunds
3. iPhone revenue about $57.58 billion versus $49.03 billion a year earlier; Mac about $10.79 billion versus $8.73 billion
4. December-quarter gross margin guided to 45% to 46%, down from 47.9%, mostly due to higher memory costs
5. Fiscal Q1 2027 revenue growth guided at 7% to 10% year on year
6. Returned $28 billion to shareholders in the quarter, including $24 billion in buybacks; quarterly dividend $0.27, payable Nov. 16 to holders of record Nov. 12
7. Shares closed 1.83% lower at $338.32 on Monday and fell 2.81% to $328.81 after hours
8. MoffettNathanson's Craig Moffett said Apple trades at about 36 times forward earnings