Apple Stock Holds Onto Gains Ahead Of iPhone 6 Release

Apple Stock Holds Onto Gains Ahead Of iPhone 6 Release
JESHOOTS / Pixabay

Apple stock has come roaring back in the weeks before the iPhone 6 unveiling. If the rumors are true, the company will unveil it on Sept. 9 and possibly release it for purchase ten days later. Because of these rumors, shares of Apple Inc. (NASDAQ:AAPL) hit a new high this week and are still hovering around that new high, showing signs that they could go even higher.

Apple stock repeats iPhone 5 frenzy… but what about the fall?

Last year with the launch of the iPhone 5S, we didn’t see nearly as much fanfare in Apple stock. The year before, however, shares shot up to what was a new record at the time—only to come plunging back down to earth and getting hammered for pretty much all of last year. But shares started climbing toward the end of 2013 as investors realized that Apple still has it. Record iPhone sales, followed by a seven for one stock split, gave the company a boost.

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So will we see a repeat of the decline that happened after the iPhone 5 launch? Analysts seem to think it’s unlikely, as most are expecting another record iPhone launch this year because of what’s expected to be a larger-screened iPhone 6. It’s worth noting that the iPhone 5 is also the last time Apple actually increased the screen size, pushing it up from 3.5 inches to 4 inches in size.

Apple stock and new product excitement

And don’t forget the rumored iWatch, which could come out as early as October, although one analyst said recently that manufacturing problems may delay it to next year. CEO Tim Cook has all but promised that Apple will enter a new product category this year, and it’s generally expected that the iWatch will be that new category.

Investors probably want to get in before the launch of that smart watch as well. However, if it doesn’t do as good as bulls think it will, then Apple stock could fall off in a similar fashion to what it did after the iPhone 5S.

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