Apple briefly touched a $5 trillion market value on Tuesday, becoming only the second publicly traded company to reach that level. On the same day, KeyBanc reiterated an Underweight rating on the stock, arguing Apple is overvalued ahead of Thursday’s earnings report.
Apple briefly became the second publicly traded company in history to reach a $5 trillion market value on Tuesday. It crossed that market capitalization less than a year after topping $4 trillion in October 2025.
The stock is up roughly 24% year to date and nearly 60% over the past 12 months, driven by strong iPhone sales. Shares changed hands at $336.82, down 0.03% on Tuesday morning.
Apple’s Siri delay and the Google Gemini deal
Investors have criticized Apple over the past few years, concerned the company was too far behind in the AI race. Apple debuted its Apple Intelligence platform in 2024 but delayed key parts of the software, including an upgraded version of Siri.
That led to executive shakeups, and Apple eventually signed a deal to use Google’s Gemini AI models to power the voice assistant. Apple is now expected to launch the overhauled Siri as a beta alongside its first foldable iPhone and the iPhone 18 lineup later this fall.
Because it lacked heavy AI exposure, Apple did not see the growth its Big Tech peers did after OpenAI released ChatGPT in November 2022: Nvidia climbed about 1,125%, Meta rose around 386% and Google jumped 226%, while Apple increased 130%. But that also insulated it from some of the steep sell-offs its AI-focused rivals faced, with Microsoft falling roughly 28% since its all-time closing high of $542.07 in October 2025.
KeyBanc sees Apple falling 26% to $250
KeyBanc analyst Brandon Nispel reiterated an Underweight rating with a $250 price target, about 26% below current levels. His thesis rests on pricing: according to Nispel, “as Apple raises iPhone prices, unit growth will slow”, and slowing unit growth would slow user growth and, he thinks, Services growth. He also argued that with Apple trading at about 34x P/E and a growth profile shifting from volume-led to pricing-led, investors should apply a lower stock valuation multiple, which makes Apple overvalued at current levels.
Most on Wall Street are optimistic about Apple’s near-term momentum. Its forward price-to-earnings multiple is 31.6 times, above its 10-year average of 24.8 times.
Apple has gained 24% this year compared with an 8% advance for the S&P 500. The company reports earnings this Thursday.
Sources: Yahoo Finance, Yahoo Finance
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