Wall Street analysts appeared to breathe a sigh of relief after Apple's first quarter earnings modestly beat analysts’ forecasts and the company’s explanation of falling iPhone sales in China eased their anxieties.

Apple reported fiscal first-quarter earnings Thursday. Analysts are focused on iPhone momentum following a sluggish start to the year for Apple's stock.

Apple beat Wall Street's quarterly profit estimates on Thursday, but iPhone sales and China revenue for the holiday quarter were weak due to stiff Chinese competition and a slow rollout of artificial intelligence features.