- Apple stock has surged by 84% since January, boosted by strong iPhone and Airpods sales.
- With no tariff threats and the popularity of the firm’s flagship products surging, Apple is in a prime position to maintain momentum.
- Analysts are seeing $300 as a near-term target due to strong technicals supported by large sales figures.
The Apple (NASDAQ:AAPL) stock is up 84% year-to-date, pushing the market cap of the conglomerate to $1.29 trillion. Boosted by iPhone 11 and Airpods Pro sales that exceeded expectations, AAPL is in an ideal position to maintain its momentum throughout 2020.
These four catalysts are responsible for Apple’s record gains.
1: Big sales figures from the iPhone 11
The main factor behind the strong performance of the Apple stock in 2019 is indisputably the popularity of the firm’s flagship iPhone.
The sales of the iPhone 11 beat expectations of both Apple and analysts. As the demand for the product surged beyond anticipated levels, Apple increased the production of the iPhone 11 merely two weeks after its launch.
The iPhone 11 was launched on Sept. 20. According to Nikkei, on Oct. 4, Apple ordered the manufacturing of additional 8 million units, raising the production by 10%.
The newly released iPhone also performed unexpectedly well in China, with Apple shipping more than 10 million iPhones to China from September to October.
Apple was initially predicted to struggle in the Chinese market due to cheaper local alternatives with better native services that suit the needs of Chinese consumers.
However, the iPhone 11, not the Pro, appealed to Chinese consumers with a lower price range. Canalys analyst Nicole Peng said that Chinese customers received the new iPhone line better than previous models.
2: Wearables and hearables market
If the iPhone 11’s production increased by 10%, Apple doubled the production of the Airpods Pro to two million per month.