Apple is among the largest companies in the world, with a broad portfolio of hardware and software products targeted at consumers and businesses. Apple’s iPhone makes up a majority of the firm sales, and Apple’s other products like Mac, iPad, and Watch are designed around the iPhone as the focal point of an expansive software ecosystem. Apple has progressively worked to add new applications, like streaming video, subscription bundles, and augmented reality. The firm designs its own software and semiconductors while working with subcontractors like Foxconn and TSMC to build its products and chips. Slightly less than half of Apple’s sales come directly through its flagship stores, with a majority of sales coming indirectly through partnerships and distribution.

Apple is among the largest companies in the world, with a broad portfolio of hardware and software products targeted at consumers and businesses. Apple’s iPhone makes up a majority of the firm sales, and Apple’s other products like Mac, iPad, and Watch are designed around the iPhone as the focal point of an expansive software ecosystem. Apple has progressively worked to add new applications, like streaming video, subscription bundles, and augmented reality. The firm designs its own software and semiconductors while working with subcontractors like Foxconn and TSMC to build its products and chips. Slightly less than half of Apple’s sales come directly through its flagship stores, with a majority of sales coming indirectly through partnerships and distribution.

The minor change in character in the stock market lasted three to five days, depending on how it is measured. After three down days, that was enough for the "king of the hill" and investors swooped in and catapulted Nvidia (NVDA) to a 6.7% pop on June 25. The stock is now just 7% from its recent all-time closing high. While other semiconductor stocks rose as well, their gains were muted -- with most of the heavyweights gaining 2%-3%. ARM Holdings Plc (ARM) was the exception, reclaiming 6.4%. So was that it for the great semiconductor decline in 2024? Bullishly, most of the big stocks held initial support from their 21-day exponential averages. In addition, the semis quickly worked off extreme momentum divergences on a daily basis. But many remain overbought on a weekly basis and have traced out weekly bearish divergences (some quite glaring). From a technical basis, we would prefer (and lean toward) more sideways-to-down price action in the coming weeks before the next leg higher. Seasonally, the summer-to-fall period has been the worst for semiconductors and technology in general. As for the areas of the market that had benefited recently, June 25 was not a pretty day. The S&P MidCap 400 declined 1%, while the S&P SmallCap 600 fell 0.9%. Looking at sectors, Real Estate (XLRE), Materials (XLB), and Utilities (XLU) all dropped at least 1%, with Financials (XLF) and Industrials (XLI) giving back 0.8%. NYSE breadth was -1,000, while advancing issues/total issues and up volume/total volume was fairly weak at only 33%. (Mark Arbeter, CMT)

Apple manufactures smartphones, tablets, PCs, software, and peripherals for a worldwide customer base. Its products include Mac desktop and mobile PCs, iPhone, iPad, Apple Watch, and various consumer products, including AirPods, Beats headphones, and Apple TV. Apple services include App Store, iTunes, iCloud, Apple TV+, Apple Arcade, Apple Music, Apple Pay, and more.