After a solid October CPI report, the stock price Apple surged past a key 50-day moving average. Traders note that breaching the $185 mark could open a path toward $190 if earnings momentum continues into the holiday season. Investors should understand what variables supported Apple's returns. In this instance, net income was up 119% between Q3 2015 and Q3 2025 (ended June 28). The business has been able to sell more of its devices, like the iPhone, MacBook, Watch, and AirPods, over time. What's more, Apple's services division is growing at a double-digit pace and posts a high gross margin. Woodring highlighted that the key driver of a stronger iPhone 17 cycle is an aged iPhone installed base that needs upgrades. This, along with the first-ever foldable iPhone and six total new iPhone launches next cycle, supports high-single-digit year-over-year iPhone revenue growth extending into FY27, even without making any assumptions related to AI. Consequently, Woodring raised his Fiscal 2026 and Fiscal 2027 earnings per share (EPS) estimates by 2% and 6%, respectively, with his new Fiscal 2027 EPS estimate of $9.30 being higher than the Streetâs consensus forecast by 6%. The stock price Apple’s forward P/E ratio stands at 28.1x, above its 5-year average, reflecting investor confidence in sustained double-digit EPS growth.