Why JPMorgan Says Apple’s (AAPL) Results Should Calm Investor Nerves

Core Viewpoint - Apple Inc. is recognized as one of the significant AI stocks on Wall Street, with JPMorgan raising its price target to $325 and maintaining an "Overweight" rating, indicating confidence in the stock's performance [1]. Financial Performance - Apple's latest financial results are expected to alleviate investor concerns regarding the impact of rising memory costs on gross margins and potential slowdowns in Services revenue [2][3]. - The company achieved "record Product gross margins" in the December quarter, with expectations for the March quarter to also reflect record margins, which should reassure investors about the materiality of rising memory costs [2][4]. Investor Sentiment - JPMorgan believes that the strong financial results will help calm investor nerves about the potential negative impacts of memory-related costs, despite management acknowledging a slightly higher impact in the March quarter compared to December [3][4].