Apple shares drop 9% on July 31, erasing $500 billion value

Apple Inc. shares plummeted nearly 10% on Friday, July 31, 2026, erasing roughly $500 billion in market value and ceding its recently reclaimed title as the world's most valuable public company back to Nvidia. The sharp decline followed the company's quarterly earnings report, where a weaker-than-expected revenue forecast and specific business segment weaknesses overshadowed a record-setting fiscal third-quarter performance.

The sell-off was triggered by Apple's projection for revenue growth of 9% to 11% for the current quarter, which fell short of Wall Street's expectation of roughly 12%. Investors also reacted to softer-than-anticipated results in the company's high-margin Services division and its business in China. This combination proved sufficient to spark a steep sell-off, marking the stock's worst single-day performance since the pandemic-driven market turmoil of March 2020.

Despite the market reaction, Apple's underlying quarterly results were strong. The company reported record iPhone sales for a fiscal third quarter, with revenue from the device rising 21.7% to $54.25 billion, surpassing analyst estimates. Overall, the company beat expectations on most major financial...