Apple Stock Tumbles 7.4%, Wipes Out $426 Billion in Value

Apple's stock fell by 7.4% on July 31, wiping out around $426 billion in market value over two days, despite its strong third-quarter results.

The company reported a 16.4% year-over-year increase in net sales for the quarter, with iPhone sales rising 21.7%. However, investors were concerned about weaker guidance, rising costs, and potential pressure on consumer demand.

Apple's product business had struggled to grow after the pandemic-era boom, but the strong jump in fiscal Q3 2026 suggests that demand for Apple's hardware is picking up again.

The company raised prices in June due to higher memory chip costs, which may have led to pull-forward demand. This could impact consumer spending habits and Apple's profit margins.