Apple Stock Fell After a Record iPhone Quarter. Here’s the Margin Problem Investors Shouldn’t Ignore.

Apple delivered record iPhone revenue of $57.6 billion, beating estimates, but stock fell 2% due to margin concerns. Rising memory chip costs are pressuring profitability, with management guiding to 45-46% gross margins for the holiday quarter, down from 46.9%. While the author remains bullish citing strong services margins (76%) and Apple's purchasing power, the stock's 35x earnings multiple leaves little room for disappointment.