AAPL Slumps as Margin and Demand Concerns Return

Apple's stock price plummeted from $340 to $331-$332 on September 29, only to recover part of the decline. The sudden drop raises concerns about Apple's margins and demand for its latest iPhone model.

The recent data suggests that iPhone 18 cycle is not as strong as initially thought. While some analysts point out increased waiting times for Pro and Pro Max models, others note shorter delivery times compared to the previous cycle, raising the risk of postponed upgrades.

Rising production costs, mainly due to more expensive memory and other components, are also putting pressure on Apple's margins. The company is trying to offset these costs through pricing and product mix without weakening demand.