Buy the dip?Interestingly, the last time Apple shares were trading at this level was back in 2012, shortly before the launch of the iPhone 5. The stock dropped sharply in late 2012 and early 2013, and has only recently recouped those losses. In fact, Apple shares tend to decline after the company releases a new iPhone, as Crabtree Technology portfolio manager Barry Randall recently pointed out. Then, Apple shares eventually start rising again after the post-launch dip. The chart below from Phys.org shows how Apple shares have reacted to iPhone launches. The stock is currently back to about $700 on a pre-split basis:
Record iPhone sales projectedOn Wall Street, some analysts are predicting record-breaking sales out of the gate for the iPhone 6. For example, RBC Capital Markets estimates iPhone sales could hit 10 million units in the first week, and 75 million in the first quarter.
" As great as this would be for Apple, one thing is certain - every new iPhone model has experienced a better start than its predecessor," says Felix Richter at Statista.