Apple has shuttered multiple stores due to rising COVID cases among its workforce.
On Monday, shares of Apple Inc. surged to unprecedented heights, buoyed by significant consumer interest in the newly launched iPhone 17 series.
This momentum propelled the tech giant towards a staggering $4 trillion market capitalization, positioning it closely behind Nvidia as the second most valuable publicly traded company globally.
The stock experienced a remarkable increase of 4.2%, reaching $262.90, thereby elevating Apple’s market cap to approximately $3.9 trillion.
This upswing followed a report from Counterpoint Research indicating that the iPhone 17 lineup has surpassed last year’s model by 14% within the initial ten days of sales in both the U.S. and Chinese markets.
“The base model iPhone 17 presents an irresistible value proposition for consumers,” remarked Mengmeng Zhang, a senior analyst at Counterpoint.
“With enhancements in processing power, display quality, increased base storage, and a better front-facing camera—all retained at last year’s iPhone 16 price point—the decision to purchase is a straightforward one, particularly when factoring in channel discounts and promotional offers.”
This surge in sales has revitalized Wall Street sentiment, leading to a series of upgrades for Apple. Loop Capital upgraded its rating from “hold” to “buy,” significantly raising its price target from $226 to $315 per share.
Analyst Ananda Baruah expressed confidence in Apple’s trajectory, suggesting, “Though the market has anticipated some level of outperformance from AAPL’s latest iPhone lineup, we see significant potential for exceeding current expectations through the calendar year 2027.”
Meanwhile, Evercore ISI included Apple in its Tactical Outperform list, highlighting encouraging trends in online pre-orders within China, along with reduced delivery times, as indicators of sustained demand.
“The recent initiation of online orders in China could serve as a beneficial tailwind for the December quarter, as the early delivery time data suggests stronger initial demand compared to other regions,” analysts from Evercore noted.
Apple’s resurgence follows a challenging first half of the year, characterized by heightened competitive pressures in China and apprehensions regarding potential U.S. tariffs on Asian imports.
The company’s announcement of an additional $100 billion investment in the U.S. earlier this year helped assuage these concerns, reinforcing trust in its supply chain strategy and ambitions for domestic expansion.
Art Hogan, Chief Market Strategist at B. Riley Wealth, noted that the rebound reflects a shift in market sentiment. “The latest iPhone rollout has exceeded expectations… consumer demand for these products is clearly gaining traction,” Hogan stated.
Last week, CEO Tim Cook attended an unveiling event in Beijing for the new iPhone Air, which reportedly sold out within minutes, according to the South China Morning Post.
Amit Daryanani of Evercore indicated that the success of this device in China could further enhance Apple’s performance. “We anticipate that AAPL is well-positioned to exceed September quarter expectations later this month,” Daryanani wrote.
Over the past three months, Apple shares have risen by 24%, outpacing most competitors within the Magnificent 7, although they still trail behind Nvidia and Microsoft in year-to-date performance.
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