Apple Inc. (NASDAQ: AAPL) unveiled the AirPods 5, Apple Watch Ultra 4, and Apple Watch Series 12 on Wednesday. The new products feature enhanced noise cancellation and advanced health sensors. Counterpoint Research suggests these updates could drive stronger upgrade demand in a shrinking global smartwatch market.

AirPods 5 Features

The AirPods 5 offer five hours of Active Noise Cancellation (ANC). Both budget and high-end variants include this support. Apple stated that the device provides 50% more noise reduction compared to the AirPods 4. This improvement stems from redesigned internals and a next-generation EQ.

Battery life reaches up to 20 hours with the case. The company claims these earbuds offer the best ANC in the industry for open-ear designs. Additional features include hands-free Siri access and Live Translation.

The higher-end version features a longer stem design similar to the AirPods Pro 3. It includes on-stem voice control and a wireless charging case.

Pricing and Availability

Shipping for both variants begins on Sept. 18.

Apple Watch Updates

Apple updated its smartwatch lineup with the Watch Ultra 4 and the Watch Series 12. Both devices utilize an all-new health sensing system. The electrode surface area has been increased to improve skin contact during ECG recordings.

The new watches can check heart rates 60 times more frequently than the previous generation. This capability is aided by more power-efficient green LEDs. Apple stated that tests show the new devices have the most accurate heart sensing in a wearable currently.

Both models are powered by the new S11 chip. The Watch Ultra 4 offers up to 50 hours of battery life on a single charge. This is an increase from the Watch Ultra 3’s 42 hours of battery life.

Pricing and Availability

Pre-orders for both watches are available immediately.

Market Context and Analyst View

Counterpoint Research analyst George Lesniak said the launch primarily targets Apple’s existing Watch users rather than customers switching from rival brands. The upgrade case could be particularly strong for owners of older models. WatchOS 27 drops support for models older than the Series 9. As a result, Series 7 and Series 8 users will need newer hardware to access the latest Siri and health features.

Counterpoint also sees pent-up demand supporting fourth-quarter sales. Global smartwatch shipments fell 4% year over year in the second quarter. However, Apple’s shipments climbed 14%, the fastest growth among the five largest brands. Its global market share increased to 20.1% from 17%.

Lesniak expects health and sensing features to drive near-term adoption more than AI. The new readiness score combines several health signals into simple recommendations, strengthening Apple’s push to make the Watch a daily health companion. Meanwhile, some Audio Intelligence features remain limited. Live Rewind and Siri Recap are slated for late-2026 beta releases, are English-only and will not launch in the European Union initially. Counterpoint therefore views AI as more of a 2027 demand catalyst.

Counterpoint also highlighted Apple’s decision to hold prices steady. The firm said the combination of a new chip, upgraded sensors and unchanged entry prices could help protect Apple’s mainstream smartwatch volumes. Apple is also stepping up competition with Garmin Ltd. (NYSE: GRMN), Oura and Whoop in health and recovery tracking. Counterpoint said the new readiness and heart-rate variability features strengthen Apple’s pitch to athletes, a segment where Garmin and smart-ring makers have gained traction. Garmin’s smartwatch shipments rose 11% year over year in the second quarter.

Stock Performance

Apple stock traded slightly lower during Friday’s premarket session. The move came despite a firmer broader market, with Nasdaq futures up 0.56% and S&P 500 futures gaining 0.55%. Apple shares were down 0.17% at $326.02 during premarket trading on Friday.

Apple remains in a longer-term uptrend. The stock trades about 14.4% above its 200-day simple moving average of $284.65 and 6.9% above the 100-day average of $304.73. However, its 20-day average of $315.28 remains below the 50-day average of $317.22, signaling some short-term caution. Momentum has improved, with MACD above its signal line and a positive histogram. Traders may watch $335 as nearby resistance and $300.50 as key support.

Wall Street has a Buy consensus rating on Apple, with an average price forecast of $334.94. TD Cowen maintained Buy with a $400 price forecast Thursday, while Rosenblatt maintained Neutral at $303. Bank of America Securities maintained Buy but lowered its price forecast to $370.

Apple Inc. (NASDAQ: AAPL) generated more than $170 billion in global wholesale revenue during the first year of sales for its iPhone 17 lineup, Counterpoint Research reported. This figure represents an 11% increase over the iPhone 16 series, marking the highest launch-year revenue for any iPhone generation.

Regional Growth Drivers

China emerged as the primary growth engine for the new cycle. Wholesale revenue from the iPhone 17 series in the country jumped 35% from the prior generation. This regional performance accounted for nearly 24% of the global series revenue, offsetting more moderate growth in North America and Europe. Gains in Japan, the Middle East, Africa and Asia-Pacific also contributed to the overall uplift.

Product Mix And Pricing

Counterpoint Research Director Tarun Pathak described the iPhone 17 series as Apple's "strongest lineup in years." The base model benefited from features previously reserved for Pro devices, while the Pro lineup attracted customers seeking latest silicon and camera technology. Revenue from the base iPhone 17 grew 1.3 times from its predecessor during the first year. The device also became the world's best-selling smartphone by unit volume in the first half of 2026.

Senior Research Analyst Shilpi Jain noted that Apple maintained relatively stable pricing despite memory prices quadrupling since the fourth quarter of 2025. Many Android manufacturers raised prices or adjusted specifications due to component inflation. Installment plans and promotions helped make premium iPhones more accessible to consumers.

What the Numbers Show

The divergence between base model growth and overall series performance highlights a successful strategy to broaden appeal. While the base iPhone 17 saw a 1.3x revenue increase compared to its predecessor, the total series grew 11%. This suggests that volume gains in the entry-level segment significantly outpaced growth in higher-tier models, driving overall top-line expansion without relying solely on average selling price increases.

Market Outlook

Counterpoint expects Apple to introduce the iPhone 18 Pro and Pro Max alongside its first foldable iPhone. Lower-priced iPhone 18 models are expected to follow in 2027. An ultra-premium foldable could lift Apple's average iPhone selling price while expanding its role as a catalyst for the broader foldable smartphone market.

Analyst Ratings

The stock carries a Buy rating with an average price forecast of $335.36. Recent analyst actions include:

• HSBC: Buy (Maintains Forecast to $366.00) (Sept. 8)
• Needham: Hold (Sept. 8)
• Morgan Stanley: Overweight (Maintains Forecast to $360.00) (Sept. 2)

ETF Exposure

Apple holds significant weight in major large-cap ETFs, meaning inflows or outflows in these funds will likely force automatic buying or selling of the stock:

Apple shares were up 1.16% at $318.99 during premarket trading on Thursday.