Apple iPhone 17 Launch Could Trigger Short-Term Sell-Off in Stock

Monday, Aug 25, 2025 4:30 pm ET1min read

Apple's upcoming iPhone 17 launch may lead to a short-term sell-off in the company's stock, according to a Wall Street analyst. Expectations for the new iPhone lineup are muted, with only incremental upgrades expected. The analyst warns that investors may sell shares following the product event, citing past trends where Apple's stock has pulled back after iPhone events. However, if Apple surprises with compelling demos or price increases, the stock may fare better.

Apple's upcoming iPhone 17 launch may lead to a short-term sell-off in the company's stock, according to a Wall Street analyst. Expectations for the new iPhone lineup are muted, with only incremental upgrades expected. The analyst warns that investors may sell shares following the product event, citing past trends where Apple's stock has pulled back after iPhone events. However, if Apple surprises with compelling demos or price increases, the stock may fare better.

The analyst, Wamsi Mohan from BofA Securities, rates Apple stock as a buy with a price target of $250. Mohan expects the iPhone 17 series to be just incremental updates to the current iPhone 16 family, with the biggest change being the addition of a super-thin iPhone Air model. Mohan cautions that shares could drop after the iPhone 17 debut, a scenario often referred to as a "sell-the-news" event. Past events have seen the stock pull back after the event, only to recover 30-60 days post-event. Mohan also notes that if Apple surprises with a compelling demo of Apple Intelligence/third-party integrations or with any unexpected price increases, the stock may fare better than past events.

In addition to the iPhone 17, Apple could announce new smartwatches and AirPods wireless earbuds. Apple stock is currently in a 34-week consolidation pattern with a buy point of $260.10, according to IBD MarketSurge charts. Apple stock has an IBD Composite Rating of 82 out of 99, indicating strong growth potential.

References:
[1] https://www.ainvest.com/news/apple-post-iphone-17-stock-volatility-navigating-supply-chain-bottlenecks-margin-pressures-2508/
[2] https://www.investors.com/news/technology/apple-stock-could-sell-off-on-iphone-17-reveal-analyst-says/

Apple iPhone 17 Launch Could Trigger Short-Term Sell-Off in Stock

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