Apple Inc on Tuesday reported quarterly revenue that handily beat Wall Street's estimates, driven by strong demand for its iPhones and iPads, sending its shares more than 5 percent higher.

The consumer electronics giant said its fiscal second-quarter revenue rose 59 percent to $39.2 billion, better than the average analyst estimate of $36.8 billion, according to Thomson Reuters I/B/E/S.

Shares of the world's most valuable technology corporation resumed their rally after Apple revealed that 35.1 million iPhones - its flagship product - were bought in the March quarter, outpacing the 30 million or so expected by Wall Street analysts.

Apple sold 11.8 million iPads, the latest version of which hit the store shelves in mid-March.

The strong results came as the company's stock fell 13 percent - an unusual move - in the last couple of weeks in volatile trading. The shares have long been considered a must-have in most U.S. equity portfolios.

When you have a strong rally in a stock it often sells off for no better reason than uncertainty. I think you're going to see the naysayers go away, said Michael Yoshikami, CEO of YCMNet Advisors.

Gross margins in the fiscal second quarter came to 47.4 percent, above Wall Street's average forecast of 42.8 percent.

Net income rose to $11.6 billion, or $12.30 a share, from $6 billion, or $6.40 per share, a year earlier. That also outpaced Wall Street's target of $10.04 a share.

Apple's shares gained more than 5 percent to $590, from a close of $560.28 on Nasdaq.

(Reporting By Poornima Gupta; Editing by Richard Chang)