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Evercore Removes Apple (AAPL) From Tactical List after Strong Earnings

Apple Inc. (NASDAQ:AAPL) is one of the 10 AI Stocks Gaining Attention on Wall StreetOn January 30, Evercore ISI analysts dropped Apple from their TAP Outperform list following its December-quarter earnings.

Apple reported fiscal Q1 2026 revenue of $143.8 billion and earnings per share of $2.84, ahead of Street expectations of $138.4 billion and $2.67, respectively. Total revenue grew 15.7% year-over-year, led by iPhone sales increasing 23% and Services growing 13.9%.

Meanwhile, gross margins for the quarter were 48.2%, demonstrating a 130 basis point year-over-year improvement and exceeding management’s guidance range. The firm also higglighted how Apple’s supply constraints limited their ability to meet upside in demand, expected to continue into next quarter.

“Looking ahead, AAPL guided Mar-qtr revs up +13-16% y/y (vs. street at up ~10%), reflecting ongoing iPhone demand and continued DD Services growth, despite ongoing product supply constraints. Notably, memory headwinds had a minimal impact on GMs in the quarter, though they are expected to have more of a negative impact in the Mar-qtr.”

10 Smartphones with the Best Cameras and Battery Life

Noting key points from the EPS call, it noted that it is removing AAPL from their tactical outperform list following its strong beat-and-raise.

“We continue to view AAPL as one of our top picks for CY26 and maintain our OP rating and $330 target.”

Apple is a technology company known for its consumer electronics, software, and services.

While we acknowledge the risk and potential of AAPL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than AAPL and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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