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Apple shares jump 3% again ahead of iPhone 7 sales

Tim Cook, chief executive officer of Apple speaking with dancer Maddie Ziegler during an Apple event in San Francisco.
David Paul Morris | Bloomberg | Getty Images
Tim Cook, chief executive officer of Apple speaking with dancer Maddie Ziegler during an Apple event in San Francisco.

Apple shares rallied more than 3 percent Thursday ahead of the company's new iPhone 7 launch in stores Friday.

Initial quantities of the iPhone 7 Plus sold out globally as Apple prepares to roll out its new smartphone in stores.

"During the online pre-order period, initial quantities of iPhone 7 plus in all finishes and iPhone 7 in jet back sold out and will not be available for walk-in customers," Apple said in a statement Wednesday.

Last week, Apple said it doesn't plan to disclose first-weekend sales of the iPhone 7, in a departure from its past practice. In a statement, Apple said "initial sales will be governed by supply, not demand, and we have decided that it is no longer a representative metric for our investors and customers."

According to Credit Suisse, which reiterated its "outperform" rating on the stock, investors should buy Apple shares because iPhone 7 sales will top expectations.

Apple introduced the new smartphones at an event earlier this month. The devices feature improved cameras and eliminate the traditional headphone jack in favor of new technology.

The stock climbed toward a four-day win streak on heavy volume, with daily gains of more than 2 percent for the first time since April 2009. At that time, Apple was trading in the $15 per share range (split-adjusted: Apple stock split 7 for 1 back in June 2014).


For a third-straight session, Apple was the top contributor to gains in the Dow Jones Industrial Average Thursday. The stock also had the most positive impact on the Nasdaq 100.

Apple also helped the S&P 500 information technology sector, which was the best performing S&P group Thursday.

For the week, Apple has gained 12 percent and is up more than 9 percent so far in 2016.

But these stellar gains may not last, if history is any guide. According to Kensho, a quantitative tool used by hedge funds, CNBC Pro found over the last decade when Apple jumped more than 10 percent in four trading days, shares usually decline on the fifth day, falling by 0.8 percent on average and trading negatively more than 60 percent of the time.

Disclosure: NBCUniversal, parent of CNBC, is a minority investor in Kensho.

--CNBC's Gina Francolla contributed to this report