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Why Apple Stock Lagged the Market Today

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what happened

Over the years, Apple‘s (AAPL -1.17% ) “Events” (ie, product launches) have tended to attract much interest and excitement in the tech world.

But the company’s latest proceeding, held on Tuesday, was overshadowed by geopolitical concerns and the economic worries that accompany them. It also clearly didn’t impress investors. Apple stock sagged by over 1% on the day, a slightly steeper fall than that suffered by the S&P500 index.

So what

Apple likes to stuff these ceremonies with numerous product announcements. Arguably the most significant in this one was a revamped version of the iPhone SE, the budget model of the enduringly popular product line. The new SE, starting at $429, is 5G-enabled and comes in 64, 128, and 256GB options.

Three iPhone SEs, circa 2022.

Image source: Apple.

Apple also unwrapped a new iPad Air, powered by the company’s proprietary M1 chip. The price starts at $599, and like previous iPads, it’s available as a WiFi-only device or WiFi with cellular connectivity.

Tea technology giant’s new Studio Display monitor got a splashy introduction. Also making its debut, speaking of the M1 chip, was a fresh member of that product line, the M1 Ultra — which is “the world’s most powerful chip for a personal computer,” Apple says.

And since everyone has a streaming service these days, the company continues to expand its own offering. It announced the debut of Friday Night Baseball on its Apple TV+ streamer, which will take the form of two selected Major League Baseball games on said night, each accompanied by pregame and postgame shows.

Now what

Apple Events are always theatrical, dramatic, and fun. Oftentimes, though, the flair masks the fact that the company is only introducing refinements to existing products, rather than world-shaking new goods — like the original iPhone in 2007. Many investors clearly hunger for the latter, but these new products should find an audience — particularly those budget, 5G-ready new iPhone SEs.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis – even one of our own – helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.

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