Apple's $2.84 Earnings Beat Can't Overcome Siri Delay Concerns

Core Insights - Apple reported record revenue of $143 billion and earnings per share (EPS) of $2.84, but shares fell by 5% due to concerns over delays in Siri's rollout and a cautious AI strategy [1] Financial Performance - Revenue reached $143 billion, with iPhone revenue increasing by 23% to $85 billion and Services revenue at $30 billion [1] - Net margins remained strong at 29.3% [1] - Despite strong operational performance, the stock's trailing P/E ratio is 32x, indicating limited upside potential according to analyst targets of $298.75, suggesting a potential gain of just over 14% [1] Market Sentiment - Retail investor sentiment for Apple has been volatile, with a score of 74 following the acquisition of Q.ai, but dropping to 32 due to Siri delays and rising component costs [1] - Average sentiment score for the week ending February 17 was 41.55, indicating low activity levels [1] Competitive Landscape - Apple relies on partnerships with Google for AI development, contrasting with Microsoft and Google, which are building proprietary AI infrastructure [1] - Concerns exist regarding whether Apple's partnership-driven approach can compete effectively against rivals with proprietary systems [1] Component Costs - NAND flash memory costs are set to double under new agreements with Kioxia starting Q1 2026, raising concerns about margins without corresponding AI innovation [1]