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FinanceApple partners with Klarna for hardware leasing, market cap hits $5 trillion
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Apple (AAPL) stock edged higher on July 28, 2026, after announcing a flexible hardware-leasing program called Apple Upgrade in partnership with Klarna. The program allows U.S. customers to lease iPhones, iPads, Macs, or Apple Watches starting at $17.99 per month, lowering upfront costs and potentially accelerating upgrade cycles while generating recurring revenue. Apple became the second company after Nvidia to reach a $5 trillion market cap, with shares around $340. However, Jefferies analysts maintained a Hold rating with a $309 price target, citing expected gross margin declines despite price hikes. The consensus rating remains Moderate Buy, but the mean price target of $321 suggests over 5% downside from current levels. Apple's Q3 earnings are scheduled for July 30.
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Wajeeh Khan Tue, July 28, 2026 at 12:19 PM PDT 2 min read
- AAPL
- KLAR
- NVDA
Apple (AAPL) stock is edging higher on Tuesday after the Nasdaq-listed company announced a flexible hardware-leasing program in the U.S. called Apple Upgrade. As investors welcomed the new initiative, launched in partnership with Klarna, Apple became the only company other than Nvidia (NVDA) to reach a $5 trillion market capitalization.
With Apple shares trading around $340, the iPhone maker is currently the world's most valuable company.
What Apple Upgrade Means for AAPL Shares
Apple customers in the U.S. can now lease an iPhone, iPad, Mac, or Apple Watch, with monthly installments starting at $17.99 for iPhones.
For AAPL stock, this new offering in collaboration with Klarna carries strategic significance as it lowers upfront costs. It may therefore accelerate consumer upgrade cycles and reinforce ecosystem loyalty over time.
Crucially, Apple Upgrade could convert one-off device purchases into steady recurring revenues while driving adoption across flagship hardware and attached services.
Note that Barchart currently holds a "100% BUY" opinion on AAPL shares, indicating technical momentum strongly favors continued upside.
Jefferies Recommends Caution on Apple Stock
Despite recent momentum, Jefferies analysts remain cautious on Apple stock ahead of the company's Q3 earnings, scheduled for release after market close on Thursday, July 30.
Consensus estimates call for the tech giant to report $1.88 in earnings per share (EPS) for its third financial quarter, up 19.75% year-over-year.
Still, the investment firm believes "gross margin would decline by 3.5 points even with price hikes of 18% to 26% for the iPhone 18 Pro/Pro Max."
In its research note, Jefferies maintained a "Hold" rating on AAPL this morning, with an upwardly revised $309 price target that still signals potential for a 9% decline from current levels.
What's the Consensus Rating on Apple?
Investors should note that other Wall Street analysts also appear to believe that AAPL stock has risen too far in 2026.
According to Barchart, while the consensus rating on Apple remains at "Moderate Buy," the mean price target of approximately $321 suggests potential downside of more than 5% from current levels.
On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com.
Source
Yahoo FinanceWestern
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Apple Partners With Klarna to Lease iPhones; Stock Hits $5 Trillion Market Cap