Apple shares fall after quarterly results despite strong revenue

Apple (AAPL) has reported better than expected quarterly figures for both revenue and earnings per share, but the market is responding with caution. Concerns over slower growth in the services sector, limited product availability and rising costs overshadow the positive results. On crypto exchange Bitget, where the stock is tradeable as a tokenised version, AAPL is currently trading at around $308.80.

In brief:

• Apple beats expectations on revenue and earnings per share, but weaker growth in services is putting pressure on sentiment.
• The stock is currently trading at around $308.80, well below its recent peak of $344.67.
• Analysts point to $300 as a key support level and $324 to $330 as the resistance zone.

Solid quarterly figures, but the details warrant caution

Apple’s revenue and earnings per share over the past quarter both came in better than analysts had expected. The market reaction, however, is anything but exuberant. Investors are focusing on the less rosy parts of the report: growth in the lucrative services sector is disappointing, while the company is simultaneously dealing with limited inventories and rising operating costs.

That combination is causing restraint, especially since the stock is already richly valued at a price-to-earnings ratio of around 37 times expected earnings. At such a high valuation, there is little room for disappointments, and the market appears to be pricing that in now.

Price drops from $344 to $300 and stabilises

The chart on Bitget, where the stock is tradeable as rAAPL/USDT, shows a sharp correction. After peaking at $344.67 around 29 July, the price quickly dropped to a low of $300.00. The price has now stabilised at around $308.80, an increase of 0.55% on the day of publication.

Market watchers are closely monitoring $300 as a crucial support level. Only a convincing break above the $324 to $330 zone, preferably on high volume, could improve sentiment. In the longer term, analysts still see a constructive setup, but in the short term uncertainty persists as long as the price remains below that resistance zone.