Apple Stock Dips Significantly Amid Concerns Over Guidance

WHO:

finance.yahoo.com - Tim Cook is the CEO of Apple.

finance.yahoo.com - Edison Lee is an analyst at Jefferies.

finance.yahoo.com - Brandon Nispel is an analyst at KeyBank Capital Markets.

finance.yahoo.com - Jeff Pu is an analyst at GF Securities.

WHAT:

finance.yahoo.com - Apple stock fell nearly 10% after Tim Cook warned about the impact of a global memory shortage.

finance.yahoo.com - Apple reported earnings per share (EPS) of $2.02 on revenue of $109.4 billion for the third quarter.

finance.yahoo.com - Analysts had anticipated an EPS of $1.89 and revenue of $108.8 billion.

finance.yahoo.com - iPhone revenue was $54.2 billion, exceeding expectations of $53.5 billion.

finance.yahoo.com - Services revenue was $30.7 billion, below projections of $31.3 billion.

finance.yahoo.com - Greater China revenue was $18.8 billion, short of analyst estimates of $19.5 billion.

Seeking Alpha - Apple shares tumbled around 10%, marking the worst single-day post-earnings sell-off since January 2013.

finance.yahoo.com - Apple expects fourth-quarter revenue to increase by 9% to 11% from a year earlier.

finance.yahoo.com - Analysts had projected a 12.1% growth in revenue.

finance.yahoo.com - Apple shares were down about 9% at $302.47 in morning trading.

WHERE:

finance.yahoo.com - Apple is headquartered in Cupertino, California.

WHEN:

finance.yahoo.com - Apple plans to debut its next-generation iPhones in the fall.

finance.yahoo.com - Apple reported EPS of $1.57 and revenue of $94 billion in Q3 2025.

WHY:

finance.yahoo.com - Tim Cook indicated that the company is facing supply constraints related to processors and memory components.

finance.yahoo.com - Higher memory costs are expected to pressure Apple's iPhone margins going forward.

finance.yahoo.com - GF Securities lowered its rating on Apple due to valuation and potential demand risks from higher memory costs.

HOW:

finance.yahoo.com - Apple is attempting to offset price increases for memory but cannot tackle all of them.

(UPDATED August 1, 2026 05:58 UTC)

Apple's stock took a significant hit, falling nearly 10% after CEO Tim Cook warned about the effects of a global memory shortage, marking the worst single-day post-earnings sell-off since January 2013. The company reported earnings per share of $2.02 on revenue of $109.4 billion for the third quarter, surpassing expectations for iPhone revenue but falling short in services and Greater China revenue. Looking ahead, Apple anticipates fourth-quarter revenue growth of 9% to 11%, although analysts had projected a higher increase of 12.1%.