On the September 11 episode of Mad Money, Jim Cramer highlighted Apple Inc. (NASDAQ:AAPL) as a standout market performer. He commented:
Apple’s is very much in its own world. Luckily, in a great world to be in, as demand for this new Duo foldable iPhone could be off the charts. Bravo, Apple. The stock’s had an unusually terrific run after a solid product intro. I think it’s really still got more to go.
Strong Fiscal Momentum and Foldable Hardware Drivers
Apple Inc. reported fiscal third-quarter 2026 revenue of $109.4 billion, up 16.4% year-over-year, while diluted earnings per share surged around 29% to $2.02. iPhone revenue reached $54.25 billion, driven by double-digit expansion across every geographic segment, along with record Services revenue of $30.74 billion. The company generated $34.4 billion in operating cash flow for the quarter, supported by gross margins reaching 50.1%.
The introduction of the iPhone Duo foldable enters a high-growth premium device category and could help expand its active installed base of over 2.5 billion devices. Analysts expect Apple’s entry to accelerate adoption of foldable smartphones, potentially creating an additional upgrade catalyst across mature smartphone markets.
Valuation Premiums and Supply Chain Complexity
Despite record financial results, Apple Inc. trades at an elevated valuation multiple (34.72x forward earnings) following its recent rally. Complex hardware innovations like the iPhone Duo bring potential yield challenges and component bottleneck risks, especially across advanced flexible display panels and custom hinge assemblies. Additionally, rising component costs, especially memory price pressures, along with macroeconomic sensitivity in Greater China remain constant factors. Any supply constraints on the new foldable lineup during initial production rollouts could limit short-term shipment volumes.
Strong Hedge Fund Backing and Muted Short Interest
According to Insider Monkey’s data tracking over 1000 hedge funds, 169 hedge funds had a stake in the company in the second quarter, compared to 170 in the prior quarter. Bearish bets on the company seem low, as the short percent of float sits at 0.96%.
Apple Inc.’s record quarterly cash generation and hardware innovation support Cramer’s constructive outlook. While supply chain execution and premium valuation multiples require close monitoring, potentially strong consumer demand for the foldable Duo would position the stock for continued upward momentum.
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