Apple Inc. (NASDAQ: AAPL) stock trades near its all-time high, with a market cap just under $4 trillion. Microsoft Corp. (NASDAQ: MSFT) jumped over $4 trillion, while Nvidia Corp.’s (NASDAQ: NVDA) is close to $5 trillion. Among the Magnificent 7 tech stocks, Apple has underperformed this year, up only 7%.

Apple’s modest stock increase is attributed to strong iPhone 17 sales, outpacing the iPhone 16. Reports show better performance in China and the United States. The high-margin Services business is growing rapidly, offsetting slow iPad and Mac sales. However, Apple lacks a strong artificial intelligence product, falling behind competitors like Microsoft and Google.

Apple’s earnings will need to be exceptionally strong to offset its lackluster performance this year. Management must deliver a strong forecast for its first true AI product to compete with industry leaders. Investors will be closely watching Apple’s progress in the AI sector to gauge its future success.

Read more at Yahoo Finance: Apple Crushed by Other Tech Stocks