Apple is gaining ground on Nvidia, with its market value near $5.05 trillion compared with Nvidia’s $5.10 trillion. October has been a strong month for Apple shares, up about 4%, while Nvidia has slipped 7% amid concerns over AI‑related financing. The debut of the iPhone Duo on Friday has ignited enthusiasm, with premium pricing starting at $1,999 and exceeding $3,000 for the highest‑storage model. Preorders sold out quickly after opening on Oct. 16, and Apple has reportedly raised production targets, underscoring a revival in its hardware business. The focus now shifts to Apple’s earnings report on Nov. 2, where revenue is projected at roughly $113 billion, reflecting 9‑11% year‑over‑year growth. Investors will watch management’s commentary on iPhone demand and the significant services contribution—services generate about a quarter of Apple’s revenue but over 40% of its gross profit, boasting margins near 75% versus roughly 37% for hardware. Analysts see Apple as a defensive growth play, and the recent momentum suggests the market may be re‑evaluating its valuation against AI‑heavy peers. Jeff Kilburg is the founder and CEO of KKM Financial. Prior to starting his own firm, he spent more than two decades on the floors of the Chicago Board of Trade (CBOT) and Chicago Board Options Exchange (CBOE). Disclosures: Kilburg owns through his Essential 40 ETF.
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