AAPL Drops as Apple Reveals New iPhone Models

Apple's stock fell by 1.45% to $311.65 on Wednesday, after the company revealed its new iPhone 18 Pro and Pro Max models at a product launch event.

The A20 Pro chip in these devices boasts 40% faster graphics and far more AI capacity than its predecessors, but investors are still waiting for Apple to announce pricing details that will protect margins without suppressing upgrades.

The iPhone 18 Pro series drove the category's 22% growth in Apple's latest quarterly revenue, which was primarily attributed to higher sales of Pro models. However, analysts such as KeyBanc have framed the trade-off between passing on higher costs to customers and risking sticker shock versus absorbing more costs and inviting margin pressure.

The market still needs to learn how much Apple will charge for its new devices, as this decision could impact revenue per device, margins, and even upgrades. A quick lengthening of Pro delivery estimates would indicate strong demand, while abundant opening-week supply would be harder to interpret without production data.