Apple's F1 Hits $237 Million Globally – AAPL Climbs 6% on Box Office Momentum

Business Insider

12 hours ago

Did Apple (AAPL) finally break the Hollywood glass walls with its $200 million racing film F1, starring Brad Pitt? Since its June 26 release, the movie has brought in $237 million at the global box office, marking Apple's most successful theatrical release to date. The strong performance could push its content division closer to profitability. It also offered a boost for the stock, with AAPL rising 6% over the past five trading days.
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$20 Billion Spent Since 2019
F1 is Apple's most commercial release to date. It was co-produced with Warner Bros. (WBD) and featured Jerry Bruckheimer and Joseph Kosinski, the duo behind Top Gun: Maverick. It also marked the best opening weekend in Pitt's career. Apple utilized real F1 race cars equipped with iPhone cameras to capture high-resolution footage, promoting the film through its own channels, including Apple Pay ticket discounts and a New York retail appearance by Pitt and CEO Tim Cook.
As mentioned, this marks Apple's first taste of theatrical success after the company has spent more than $20 billion on original films and series since launching Apple TV+ in 2019. Three big-budget titles – Napoleon, Argylle, and Killers of the Flower Moon – cost a combined $500 million but fell short at the box office. F1 is the first title to outperform expectations theatrically, and its premium on-demand release could add to its return. It may also become Apple's first film franchise.
Apple's annual theatrical film budget is around $1 billion. Going forward, the company aims to limit large-scale releases and focus more on streaming content. Upcoming titles include 'Highest 2 Lowest' from Spike Lee and 'Matchbox,' a live-action Mattel-based (MAT) film starring John Cena.
F1 could help boost Apple TV+ subscriber numbers and show that Apple's investment in original content can deliver more than awards. It also signals a move toward more conventional studio strategies, with the potential for sequels and broader audience appeal.
Is Apple Stock a Buy?
Despite this success, analyst sentiment is cautious. UBS's David Vogt maintained a Hold rating this week with a $210 price target. Jefferies' five-star analyst Edison Lee also reiterated a Hold. J.P. Morgan issued a Buy rating on June 26. Overall, Apple scores a Moderate Buy, with an average AAPL stock price of $226.36. This implies a 6% upside.
For investors, Apple's content division may not be a core revenue driver today, but it is becoming a more visible part of the company's long-term services growth story.