A price rise on a television subscription might not sound like the sort of thing to move the needle on one of the world's most valuable companies. Yet the increase Apple Inc. (NASDAQ: AAPL) pushed through last week, lifting the cost of its Apple TV service and its flagship Apple One bundle by up to 20%, speaks volumes about the strategy now driving the business, and by extension, its stock.
The timing is interesting. Apple shares are up 20% so far this year, and have been consolidating comfortably just below the all-time highs they set back in July. Layered on top of that is the fact that the new CEO, John Ternus, formally takes the reins this week. All told, last week’s seemingly straightforward price hike is actually a useful window into where the company, and its shares, might be heading next.
