Apple Dips to $309 After Cook’s Final Earnings Report

Apple (AAPL) recently dropped from its record high of $342.89 to around $309 following Tim Cook’s final earnings call as CEO on July 30. Despite this decline, the company reported strong financial results, including $109.4 billion in revenue (up 16%), $54.25 billion in iPhone sales (up 22%), and earnings per share of $2.02 (up 29%). However, Apple’s Services segment missed expectations by $480 million, and Greater China revenue fell short by $800 million due to Huawei’s recovery.

During his 89th and final earnings call, Tim Cook described the quarter as Apple’s strongest ever, highlighting unprecedented growth in upgrade numbers and the launch of the new iPhone 17 lineup, which features enhanced AI capabilities. Cook also addressed challenges such as the global chip manufacturing capacity issues, which have led to price increases for Mac and iPad products. The Google-powered Siri AI overhaul, set to launch in September, will be John Ternus’ first product event as the new CEO.

Ternus, who previously oversaw Apple Silicon and memory transitions, assumes leadership amid regulatory and geopolitical uncertainties. Cook will remain as Executive Chairman, potentially easing the transition. The stock’s technical setup shows it touching the 100-period EMA at $309.41, with support levels at $300.56 and $288.58. A close above $309.41 could target $320.27 and $329.61.

The Services miss is considered a one-quarter blip due to a subscription price increase, but sustained misses could raise concerns. Apple’s valuation at 29 times expected earnings, with 16% revenue growth and $270 billion in free cash flow, suggests a potential buying opportunity at $309. The outlook for Q4 revenue in the Services segment is expected to improve, providing a clearer picture of the company’s future under Ternus.