Shares of Apple (NASDAQ:AAPL) leapt 10.5% to a new closing high of $425.04 on Friday, following the company’s expectation-crushing third-quarter results.
Despite a host of coronavirus-related challenges, Apple’s revenue jumped 11% year over year to $59.7 billion. The technology giant’s profit growth was even more impressive. Its earnings per share climbed 18%, to $2.58. Wall Street had expected revenue and EPS of only $52.3 billion and $2.04.
Apple’s stock hit a record high on Friday. Image source: Getty Images.
The gains were broad-based, with Apple experiencing solid growth across its iPhone, Mac, iPad, wearables, and services businesses.
“Apple’s record June quarter was driven by double-digit growth in both Products and Services and growth in each of our geographic segments,” CEO Tim Cook said in a press release. “In uncertain times, this performance is a testament to the important role our products play in our customers’ lives, and to Apple’s relentless innovation.”
Apple also announced a 4-for-1 stock split to “make the stock more accessible to a broader base of investors.” Shareholders of record at the close of business on Aug. 24 will receive three additional shares for every Apple share they own. Apple’s shares will begin trading on a split-adjusted basis on Aug. 31.
Judging by the stock’s gains on Friday, investors appreciated the news.
Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Apple. The Motley Fool has a disclosure policy.