CNBC’s “Mad Money” host Jim Cramer called Apple Inc. AAPL the “most vulnerable” among the Magnificent 7 stocks.

What happened: Cramer identified Apple as the most vulnerable stock among the “Magnificent 7” ahead of the launch of the iPhone 16, CNBC reported Monday.

In a statement on Sunday, Cramer expressed concerns about the valuation of the seven largest technology companies, including Apple, which he believes is overvalued despite recent sell-offs.

Cramer emphasized that investors no longer consider the price at which they buy these stocks, leading to inflated valuations. He noted that the upcoming launch of Apple’s iPhone 16 could be a pivotal event for the company’s stock performance.

He also noted that Apple’s partnership with OpenAI to integrate ChatGPT into its devices, announced in June, had raised high expectations. However, given these developments, Cramer remains cautious about the stock’s future.

See also: Mark Cuban says Kamala Harris is simply doing what Trump did in 2016: “It’s her party. She gets to make the rules.”

Why it is important: The upcoming iPhone 16 launch, dubbed the “Glowtime” event, is highly anticipated. Apple has been at the center of technology news and was expected to unveil major improvements, including OLED displays, at the event. However, competition is heating up, and Huawei is making unexpected moves that could impact Apple’s market share.

Analysts have differing opinions on how Apple stock will perform after the event. While some believe the iPhone 16 launch could drive the stock higher, others, like Cramer, are cautious. One analyst recently noted that the iPhone 16 event may not be a “sell the news” moment, suggesting Apple stock could continue to rise.

In addition, a recent survey found that investors are considering other options within the “Magnificent 7” for retirement investments, with Amazon.com emerging as the favorite over Apple. This suggests a shift in investor sentiment that could potentially impact Apple’s stock performance.

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This story was created with Benzinga Neuro and edited by Pooja Rajkumari