AAPL Tumbles from Record Highs as New iPhone Cycle Uncertainty Reigns

Apple's stock price has pulled back from record highs after reaching $344-$345. The company's current price is around $337.49, down 0.68% from its previous closing.

Fundamentally, Apple remains strong due to its recent earnings report, which showed a 16% year-over-year revenue increase to $109.4 billion and EPS of $2.02. The company posted record June-quarter sales for iPhone, Mac, and Services, with gross margin coming in at 50.1%. However, about 2 percentage points of margin and $0.11 of EPS were driven by tariff refunds.

Investors are now focusing on the new product cycle, specifically the iPhone 18 Pro and Pro Max, which went on sale on September 18. While initial sales looked soft, with shorter delivery times than last year's cycle, demand picked up in the second week, with wait times increasing to around 23 days for the iPhone 18 Pro and 30 days for the Pro Max.

The market seems to be pricing in continued high profitability across Apple's ecosystem and resilient demand for premium devices. As long as the stock holds above $332-$333, the medium-term outlook remains positive, but a break above the $344-$345 resistance zone could open the way to new highs.