Here's what every major Wall Street analyst says about Apple's blowout earnings report

Published Fri, Jul 31 20207:08 AM EDTUpdated Fri, Jul 31 20204:07 PM EDT

Jesse Pound @/in/jesse-pound @jesserpound

(This story is for CNBC Pro subscribers only). Wall Street analysts were nearly unanimous in their praise for Apple on Friday morning, raising their price targets across the board after the company's strong results for the fiscal third quarter. The tech giant reported $2.58 in earnings per share on $59.69 billion of revenue, blowing past Wall Street estimates in a Refinitiv survey of $2.04 in earnings per share and $52.25 billion of revenue. Apple also reported a 4-for-1 stock split. The revenue result was the highest for the third quarter in company history, rising 11% year over year despite the Covid-19 pandemic disrupting retail locations in the United States and elsewhere. Revenue from iPhone sales alone beat estimates by more than $4 billion. The stock surged after the results were announced, with shares gaining 10.5% on Friday. Morgan Stanley raised its price target to $431 per share from $419, praising Apple's ecosystem and also its deployment of cheaper iPhones, which the bank said attracted new customers instead of hurting high-end sales. "Despite the success of iPhone SE, Apple saw limited cannibalization of the iPhone 11 product line suggesting real TAM expansion but also confirming that replacement cycles have extended to a point that supports a steadier upgrade rate for Apple's flagship products going forward," the bank's Katy Huberty said in a note. Morgan Stanley, which has an overweight rating on the stock, also recommended buying more shares ahead of the next iPhone cycle launch this fall. Goldman Sachs said that analysts had underestimated the impact on demand from the shift to work and education at home as well as the economic stimulus measures. The bank raised its price target to $314 per share from $299. "While we had increased our numbers heading into this print and flagged a likely solid quarter it turns out that we and consensus weren't even in the ballpark in terms of what was possible," Goldman said. A downside from the earnings call may have been CFO Luca Maestri saying that the release of the newest iPhone this fall may be a few weeks later than normal , but some analysts were already anticipating that possibility. One of those was Citi's Jim Suva, who raised his price target to $450 from $400 on Friday and expressed confidence that Apple was in strong shape for the rest of the year. "While the company did not provide guidance for the just reported June quarter and the upcoming September quarter due to COVID-19, it is clear Apple's products and services are in strong demand and the company is operating very well despite COVID-19," Suva said in a note. JPMorgan hiked its price target to $460 from $425 and also increased its estimates for iPhone shipments this year despite the apparent delay. "Apple's ability as a company in a consumer discretionary product segment to completely buck sequential slowdown in F3Q/C2Q despite the massive disruption speaks volumes to the utility associated by consumers to the products as well as the momentum of a product cycle," the bank said. Bernstein's Toni Sacconaghi raised his price target to $400 from $370, saying that even the delayed product launch could boost the stock and help it beat Street expectations next year. "While we worry about the massive multiple expansion Apple has experienced over the last 18 months, we believe the stock is now largely 'de-risked' for the rest of fiscal 2020. Moreover, Apple's stock has historically fared well in advance of new iPhone launches, and sell-side expectations for FY21 still look beatable," he said in a note. Here are how other analysts reacted to the report. Barclays — Equal weight, price target to $400 from $326 "iPad and Mac outlook remains rosy due to WFH demand, but we could see risk in future quarters. Bulls likely shrug off the deceleration in services due to record high installed base and capital return." Bank of America — Buy, price target to $420 from $410 "We expect upside to come from sustained growth and continued multiple expansion. Reiterate Buy." Baird — Outperform, price target to $435 from $420 "Our recent survey had suggested further share gains from Android, along with broadening services reach, which the results seem to demonstrate. We also view the 4:1 share split positively." Canaccord Genuity — Buy, price target to $460 from $400 "With the 5G upgrade cycle a potential benefit during 2021, other hardware categories growing double digits and continued business mix shift towards high-margin services, we believe the share price is compelling for longer-term investors." Cowen — Outperform, price target to $470 from $400 "A diversified hardware portfolio helped AAPL weather a shift to WFH spending while supporting robust FCF. Looking into CY21, a 5G iPhone cycle coupled with a growing Services business makes AAPL a defensive/growth stock to own in a (post) COVID-19 world." D.A. Davidson — Buy, price target to $480 from $355 "The return of iPhone growth was primarily driven by a strong iPhone SE launch, continued economic stimulus globally, and some loosened restrictions on shelter-in-place orders. Growth for iPads and Macs accelerated (31% and 22%, respectively), as consumers turned to Apple for remote work, learning, and entertainment." Deutsche Bank — Buy, price target to $440 from $400 "Overall, the positives outweigh the (minor) negatives in the quarter, and we suspect that AAPL's confidence that such trends simply continue into the Sept-qtr could understate the reality that they could in fact strengthen, driven in our view by Mac, iPad, global normalization of demand aiding all segments." Oppenheimer — Outperform, price target to $420 from $320 "With continued investments into new products and increased access to public capital, we remain bullish." Piper Sandler — Overweight, price target to $450 from $310 "Similar to last quarter, the company did not provide September quarter guidance given the coronavirus uncertainty and variability in operations. In our view, the most notable item in the June quarter results was the business holding up extremely well, with the pandemic having little impact on the core business." Raymond James — Outperform, price target to $440 from $400 "June however was significantly better than expectations, as the Covid-related demand impact improved more quickly than expected, with improvement in May and June. All product categories grew Y/Y, with particular strength in Mac and iPad due to work/learn from home." UBS — Buy, price target to $425 from $400 "Product gross margin was soft (90bps seq. FX impact to overall gross margin) though Services margin remained strong and Services now accounts for close to 40% of gross profit. Apple confirmed iPhone launch delay of few weeks versus typical Sept-end supporting the narrative of strong upgrade cycle in 2021." Wedbush — Outperform, price target to $475 from $450 "We believe during 2021 Apple will be the first $2 trillion valuation given the 5G tailwinds and services momentum potential over the coming years. In particular, we are seeing a continued demand snapback in China as evidenced by these results despite some speed bumps and the stage is setting up for a massive pent up iPhone 12 cycle heading into the Fall in this key region as well as globally." Wells Fargo — Overweight, price target to $450 from $420 "As we believe expected, Apple is not providing a F4Q20 guide, though most importantly noting that the 'marked improvement' seen in May & June will continue into F4Q20; also seeing continued strength in iPad and Mac." — CNBC's Michael Bloom contributed to this report.

Apple CEO Tim Cook delivers the keynote address during the 2020 Apple Worldwide Developers Conference (WWDC) at Steve Jobs Theater in Cupertino, California, June 22, 2020.

Brooks Kraft | Apple, Inc. via Reuters

(This story is for CNBC Pro subscribers only).

Wall Street analysts were nearly unanimous in their praise for Apple on Friday morning, raising their price targets across the board after the company's strong results for the fiscal third quarter.

The tech giant reported $2.58 in earnings per share on $59.69 billion of revenue, blowing past Wall Street estimates in a Refinitiv survey of $2.04 in earnings per share and $52.25 billion of revenue. Apple also reported a 4-for-1 stock split.

The revenue result was the highest for the third quarter in company history, rising 11% year over year despite the Covid-19 pandemic disrupting retail locations in the United States and elsewhere. Revenue from iPhone sales alone beat estimates by more than $4 billion.

The stock surged after the results were announced, with shares gaining 10.5% on Friday.