Headline: Apple’s brief climb past Nvidia fades as chip shortages and AI doubts dent its outlook Apple briefly reclaimed the title of the world’s most valuable company late last month, nudging ahead of Nvidia — but the lead was short-lived and the iPhone maker has since slipped back to third. Still, AAPL has shown near-term strength: shares closed up 1.96% (5.96 points) on Tuesday, August 4, 2026, and were another 0.69% (2.12 points) higher in pre-market trading. Despite the recent rally, Phillip Securities cut its price target on Apple to $290 and issued a “sell” rating. The broker cites two main concerns: - Rising memory-chip costs and supply tightness. The AI boom has rerouted large volumes of memory toward AI data centers and compute applications, tightening supplies for consumer-electronics makers and pushing prices higher. That squeeze is expected to compress margins and weigh on Apple’s device sales outlook as component costs climb. - Weak evidence that “Apple Intelligence” is materially driving upgrades. Analysts say there’s little sign Apple’s AI-feature push is compelling users to replace phones, tablets or laptops at a faster clip. The skepticism echoes earlier questions about Microsoft’s Copilot and broader caution about whether heavy corporate AI spending will deliver sustained returns. The market backdrop is also a factor: AI-focused tech names dominate headlines and valuations, and growing talk of an AI bubble has injected volatility and risk-off sentiment into equities. That mood could spill over into other risk assets — including crypto — as investors reassess exposure to high-valuation, AI-linked bets. What to watch next: memory-price trajectories, Apple’s product-cycle upgrade metrics, and quarterly results for signs that AI features are translating into higher device demand. Those data points will go a long way toward settling whether recent investor skepticism is temporary or a more durable drag on Apple’s prospects. Read more AI-generated news on: undefined/news