Apple Stock Is Trending Down: What's Going On?

Apple Inc (NASDAQ:AAPL) shares are sliding on Monday after climbing to new highs last week. Here’s a look at what’s going on.

What To Know: Apple investors appear to be circling a Bloomberg report focused on the year ahead for Apple. According to Bloomberg’s Mark Gurman, Apple is paying Google to develop a customized model based on Gemini technology that will operate on Apple’s private cloud servers to help power Siri.

Earlier this year, Apple compared offerings from Anthropic and Google and found Anthropic’s model to be stronger. However, Google’s proposal was more cost-effective, helped in part by its existing search partnership with Apple, the report states.

Gurman emphasized that neither company is expected to publicly acknowledge this partnership, and users should not anticipate Siri being overwhelmed with Google services or Android-style Gemini features. Instead, the goal is to enhance Siri with artificial intelligence tools that meet user needs while keeping Apple’s familiar design.

Despite Apple projecting holiday quarter revenue between $137 billion and $139 billion, Gurman outlined several challenges facing the company in 2026. Regulatory pressure could lead to major changes in how the App Store operates, possibly cutting into revenue from developers. At the same time, the move toward AI-driven search could eat into the payments Apple gets from Google.

The report also indicates that tariff concerns persist, with the risk of heavier impacts given the substantial manufacturing volume in China as Apple’s large-scale manufacturing operations in China make it susceptible to tariffs.

There are also doubts about the company’s slow move into smart home tech and whether its foldable iPhone, launching years after rival models, will be able to actually achieve any meaningful adoption.

According to Gurman, there’s no guarantee users will embrace the new Siri or that the company can repair years of brand damage.

AAPL Analysis: Despite Monday’s pullback, Apple stock has shown a solid year-to-date performance, up 9.6%, reflecting strong investor sentiment and resilience in the tech sector.

Trading approximately 7.6% above its 50-day moving average of $248.24, the stock remains in a bullish trend. The 200-day moving average, currently at $223.30, is significantly lower, indicating a robust upward momentum over a longer time frame. The relative strength index (RSI) at 69.49 suggests that the stock is nearing overbought territory, which could lead to increased volatility in the near term.

With a calculated support level at $255.43, Apple stock has a solid foundation beneath its current price. If the stock were to retrace, this level could provide a cushion against further declines. The absence of a defined resistance level indicates that the market may be looking towards the 52-week high of $277.32 as a psychological barrier.

AAPL Price Action: Apple shares are trading down 1.19% at $267.16 at the time of publication on Monday, per Benzinga Pro. The stock is hanging out about 3.5% below its 52-week high, but it’s still 7.6% above its 50-day moving average.

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