So Apple dropped the iPhone 17 a couple weeks ago, and Wall Street is having what can only be described as a collective identity crisis. One minute they’re pumping the stock, the next they’re basically telling you to run for the hills. Classic Wall Street, really.
Here’s what went down: Apple’s stock did that thing it always does – jumped 3.3% on launch day (September 19), then another 4% a few days later, hitting $256. Everyone got excited, champagne was probably popped in some trading floors, and then… nothing. The stock has been flatlining like a patient in a medical drama, barely budging to $258.
This is textbook “buy the rumor, sell the news” territory. You know how it goes – everyone gets hyped about the shiny new iPhone, bids up the stock, then when it actually launches, reality sets in and people remember they already own a perfectly good phone from two years ago.
The Analyst Circus
The real entertainment has been watching analysts trip over themselves with contradictory takes. Jefferies just downgraded Apple to “underperform” (which is Wall Street speak for “maybe don’t”), saying the iPhone 17 hype has created “excessive expectations.” Their analyst Edison Lee basically said Apple’s trading at 39 times earnings because everyone’s being way too optimistic. Their price target? $205 – a brutal 21% haircut from current levels.
But wait, there’s more! Morgan Stanley came out swinging in the opposite direction, raising their price target to $298 and gushing about “stronger than anticipated” iPhone 17 demand. They’re already getting excited about the iPhone 18 cycle, which is like getting pumped about next year’s Super Bowl before this year’s playoffs even start.
Then UBS chimed in with the ultimate buzzkill, claiming the iPhone 17 has already hit “peak demand.” Thanks for that ray of sunshine, guys.
The Reality Check
Here’s the thing about Apple that everyone seems to forget: it’s a $3.83 trillion company. When you’re that massive, moving the needle becomes like trying to turn an aircraft carrier with a paddle. The iPhone 17 might be great (early reviews are solid), but it’s not going to magically transform Apple’s growth trajectory overnight.
The median analyst price target sits at $250, suggesting the stock might actually drop 3% over the next year. That’s not exactly a ringing endorsement from the people whose job it is to figure this stuff out.
The Bottom Line
Apple remains the ultimate “it’s complicated” stock. Yes, they make incredible products that people line up to buy. Yes, they have more cash than some small countries. But they’re also trading at premium valuations in a world where everyone already has a smartphone.
The iPhone 17 launch perfectly captures Apple’s current dilemma: solid execution, mixed excitement. Whether that’s worth $258 a share depends on how much you believe in Tim Cook’s ability to find the next big thing beyond phones. Just don’t expect Wall Street to give you a clear answer anytime soon – they’re too busy arguing with themselves.