Apple Stock Takes A Bite Out Of Investors As Siri Fumbles AI Race

Apple Inc AAPL stock is under serious selling pressure.

Shares of the Cupertino, California-based company are down 10.85% year-to-date, 8.22% in the past month, and 1.56% today alone.

Chart created using Benzinga Pro

Apple stock is giving out all ‘Bearish' signals. The stock price languishes below the eight, 20, 50, and 200-day moving averages.

The MACD (moving average convergence/divergence) indicator? A negative 3.23.

The RSI (relative strength index)? At 29.89, the stock is in the oversold territory. This usually triggers a rebound but the lack of buying pressure and the negative MACD do not support it currently, for Apple stock.

Translation: Wall Street isn’t feeling the love for Apple right now.

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Morgan Stanley Sounds The Alarm On Apple's AI Delay

And now, Morgan Stanley is turning up the heat, slashing its price target from $275 to $252. The reason?

Apple's AI ambitions are running late. The much-anticipated upgrade to Siri — expected to be a game-changer for iPhone upgrades — is now delayed, throwing a wrench into Apple's iPhone sales projections for 2025 and 2026.

The firm is now forecasting flat iPhone shipments in 2025 and a modest 6% growth in 2026, with revenue and EPS projections trailing consensus estimates.

AI Setback Threatens Apple's iPhone Sales Outlook

AI was supposed to be Apple's golden ticket to an iPhone supercycle, but the delay in rolling out Apple Intelligence has left consumers unimpressed. According to Morgan Stanley, half of iPhone owners who skipped the iPhone 16 cited the delayed AI rollout as a reason.

And Apple's biggest rival, Samsung, isn't waiting around — its latest devices, packed with Google's Gemini AI, are already hitting the market.

Beyond the AI hiccup, Apple is also grappling with a $2 billion tariff-related cost headache in 2025, adding to its list of woes.

While a redesigned iPhone 17 could offer some relief, the reality is that Apple's AI execution is looking more like a stumble than a sprint.

Can Apple Recover From Its AI Stumble?

Apple has seen stumbles before – AirPods and Apple Watch both started slow before becoming massive hits.

But investors hoping for a quick turnaround might need some patience. The AI race isn't over yet, but for now, Apple is playing catch-up while its stock takes a hit.

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