Apple and Amazon Deliver Quarter Shock: Profits Surge to Historic Levels

Apple and Amazon have re‑entered investors' radar with Q2 2026 revenue and profit figures that far exceed expectations.

Apple’s Quarter‑Long Leap Forward

■Apple's revenue rose 16.4% YoY to $109.4 billion, up from $94 billion a year earlier.

■Net income jumped 27.1% to $29.8 billion, versus $23.4 billion previously.

■Earnings per share climbed from $1.57 to $2.02.

■iPhone sales surged 21.7% YoY to $54.3 billion, Mac sales rose 28.7% to $10.4 billion, while iPad sales fell 5.9% to $6.2 billion.

Amazon’s AI‑Fueled Profit Explosion

■Amazon's net sales grew 20% YoY to $200.6 billion, up from $167.7 billion.

■Net profit exploded 244.9% to $62.6 billion, driven largely by non‑operating gains from its AI partner Anthropic (vs. $18.2 billion last year).

■EPS surged from $1.68 to $5.75.

■AWS revenue climbed 37% to $42.2 billion, the strongest quarterly growth in the last 18 quarters.

■The company projects Q3 net sales in the $197‑$202 billion range.

Market Reaction and Investor Sentiment

■Both giants lifted the tech‑heavy NASDAQ and S&P 500 indices, reinforcing the sector’s upward bias.

■Analysts view Apple’s iPad dip as a short‑term blip, while Amazon’s AI‑related income is seen as a potentially durable tailwind.

■Short‑term volatility spiked, reflected in higher implied volatility (IV) across options markets.

Caner Yılmaz – BIST 100 Technical & Quantitative Analysis Director: "Apple’s robust iPhone and Mac growth is backed by a price‑volume equilibrium that keeps the stock above the Fibonacci 0.618 retracement level. Amazon’s near‑250% surge in AI‑related non‑operating income opens a 38‑40% expansion corridor for AWS. Both stocks sit above their 50‑day moving averages, yet the 20‑day MA hints at a mild pull‑back. Technically, a ‘bull flag’ pattern is forming, but prudent risk management calls for stop‑losses set at 5‑7% of entry price."