(NASDAQ: AAPL) stock has delivered impressive gains to investors over the past five years, with shares of the tech giant rising close to 250% during this period and outpacing the S 500 index's gains of 77% by a big margin. The "Magnificent Seven" stock's robust rally can be attributed to the growing prominence of its high-margin services business, as well as a tremendous smartphone upgrade cycle triggered by the arrival of 5G smartphones.

However, Apple stock has lost its luster in 2024. It is down nearly 5%, and has underperformed the S 500 so far.

Berkshire Hathaway, led by celebrated investor Warren Buffett, has reduced its Apple stake by 13%. Moreover, analysts and investors are concerned that Apple has been late to capitalize on hot tech trends such as artificial intelligence (AI). Rivals such as Samsung are using AI to boost smartphone sales, while Apple's latest results indicate that the demand for iPhones is waning.

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Source Fool.com