Apple Shares Rally Toward $290 on Strong iPhone Demand, Despite $1.1 Billion Tariffs
AAPL•After a weak June jobs report eased rate-hike fears, Apple shares rallied toward $290 from a 6.5% selloff triggered by memory-cost-driven price hikes on Macs and iPads. Strong traditional iPhone demand ahead of the iPhone 18 is countered by $1.1 billion in tariffs, rising component costs and an Indian supply-chain leak.
1. Stock Rebound After Selloff
After a weak June jobs report eased rate-hike expectations, Apple shares rebounded toward $290, recouping losses from a 6.5% selloff earlier in the week. That drop followed memory-cost-driven price hikes on Mac and iPad lines that weighed on investor sentiment.
2. Traditional iPhone Demand Resurgence
Despite company emphasis on AI features, robust preorders and upgrade cycles for legacy iPhone models are driving the recovery. Analysts note that consumer interest ahead of the iPhone 18 launch remains grounded in established features and pricing incentives.
3. Margin and Supply-Chain Challenges
Apple faces a cumulative $1.1 billion in U.S. import tariffs this quarter, compounded by rising component costs that threaten gross margins. A recent manufacturing leak at an Indian iPhone plant also underscored ongoing supply-chain vulnerabilities in key growth markets.
