Apple Stock Tests Key Support Amid iPhone Duo Launch Concerns
Apple stock is under scrutiny as it tests key support levels after the launch of its iPhone Duo and increased pricing. The new foldable iPhone, priced at $1,999, has sparked concerns about demand and supply constraints. Despite this, Apple's revenue and EPS have seen a significant increase in Q3 2026.
The iPhone Duo's high price point raises questions about whether customers will maintain demand throughout the product's life cycle. Additionally, increased costs due to higher memory and semiconductor prices led to a price hike on the iPhone 18 Pro to $1,199. This move may protect Apple's margins but leaves investors wondering how much the installed base can absorb premium pricing.
Apple's Q3 results were strong, with revenue increasing by 16% year-over-year and EPS rising by 29%. However, the gross margin of 50.1% was boosted by tariff refunds, and Services revenue grew slower than expected at 12.1%. Supply constraints continue to be a major concern for Apple, potentially limiting shipments despite strong demand.