Apple Stock Perks Up On iPhone China Sales Report: Retail Optimism Rises

Shares of Apple, Inc. ($AAPL) rose over 1% on Friday, building on gains from the previous session and lifting retail mood.

A new report from Counterpoint Research indicated that sales of the iPhone 16 in China during its first three weeks of launch have exceeded those of the iPhone 15 by 20%.

The robust sales have been primarily driven by strong demand for the iPhone 16 Pro and Pro Max models, which saw an impressive 44% increase in sales compared to the iPhone 15 Pro and Pro Max.

Despite an initially lukewarm reception to the iPhone 16 at its September launch — due to the absence of groundbreaking features and delays in rolling out Apple’s in-house AI technology — the early data suggests that this year’s launch is performing better than last year’s.

Counterpoint analyst Ivan Lam noted that the current spike may be due to production issues that hindered the iPhone 15’s early sales last year.

The iPhone 16 promotes enhanced performance and longer battery life, all while maintaining a starting price of 5,999 yuan (approximately $844).

As a result, Apple has regained its lead over Chinese rivals such as Vivo and Huawei, thanks to strong interest from existing users upgrading from older models.

On Stocktwits, retail sentiment for AAPL has shifted from ‘neutral’ to ‘bullish,’ reflecting broader market optimism.

Apple shares hit a record high earlier this week, buoyed by expectations surrounding the rollout of AI-powered features in the new iPhones.

Wedbush Securities senior analyst Dan Ives commented that Apple’s “growth renaissance” has begun, with soaring iPhone 16 demand in China. He also expressed confidence in a robust tech earnings season, despite potential volatility related to upcoming elections.

Some analysts had previously cautioned that the iPhone 16 might struggle in China, the world’s largest smartphone market, due to the lack of a local partner for AI features, given Beijing’s restrictions on foreign-developed AI models.

Separately, former President Donald Trump claimed that Apple CEO Tim Cook reached out to discuss the significant fines Apple has faced in the EU. Trump asserted that if reelected, he would not allow the EU to “take advantage” of U.S. companies like Apple.

So far this year, Apple stock has risen over 25%.

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