Technology / Semiconductor / Internet Research

Nicolas Baratte

Equity Bottom-Up

<ul>
<li>How many times can Apple management say “delightful” when they have nothing to say? WWDC25 highlighted a bunch of small software tweaks, mostly “new designs” and nothing on AI. </li>
<li>The air pocket continues: very low growth in hardware categories, potentially large negative consequence of the Epic lawsuit, no AI roadmap.   </li>
<li>Consensus expects revenue growth for FY26 and that’s very questionable. The stock trades at 28x FY25 EPS, 26x FY26 with the only driver being share buybacks. Avoid!</li>
</ul>


How many times can Apple management say “delightful” when they have nothing to say? WWDC25 highlighted a bunch of small software tweaks, mostly “new designs” and nothing on AI. 
The air pocket continues: very low growth in hardware categories, potentially large negative consequence of the Epic lawsuit, no AI roadmap.   
Consensus expects revenue growth for FY26 and that’s very questionable. The stock trades at 28x FY25 EPS, 26x FY26 with the only driver being share buybacks. Avoid!


Apple WWDC25: Nothing Announcements, and Nothing on AI.

Podcast On the Business of Semiconductors, The Circuit

The Circuit

Podcast On the Business of Semiconductors

A Podcast On the Business of Semiconductors. With Jay Goldberg and Ben Bajarin

<ul><li>Origin story of the book: Becoming interested in Apple's Achilles heel in China after being too bullish on the company's success</li><li>Focus on the role of manufacturing design engineers in custom manufacturing and orchestration of Apple's supply chain in China</li><li>Thesis of the book: Exploring Apple's strategic positioning in China and the symbiotic relationship between economic scale and customer allure in the luxury market</li></ul>This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

Origin story of the book: Becoming interested in Apple's Achilles heel in China after being too bullish on the company's successFocus on the role of manufacturing design engineers in custom manufacturing and orchestration of Apple's supply chain in ChinaThesis of the book: Exploring Apple's strategic positioning in China and the symbiotic relationship between economic scale and customer allure in the luxury marketThis content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

Episode 117: Talking Apple in China with Patrick McGee

Independent research on the U.S. markets, Baptista Research

Baptista Research

Independent research on the U.S. markets

Baptista Research is an independent financial research house focused on the U.S. markets. We provide equity research as well as credit research reports on the top-listed U.S. companies with most of our focus on technology, consumer goods and services, automobiles, industrials, oil and gas, pharma, and healthcare. Our research has served more than 3000 institutional investors including mutual funds, hedge funds, banks, family offices, and various buy-side firms. We operate a research subscription service where institutions, as well as retail investors, can have priority access to all our research. We also have a wide distribution of our research reports across some of the top global financial platforms. Apart from equity research and credit research, we also provide advisory services with respect to mergers & acquisitions (M&A), private equity/ venture capital fundraising, valuation reports, and investment management services for corporates.
Baptista Research is owned and managed by Ishan Majumdar, an ex-Venture Capitalist/ Investment Banker, a Chartered Accountant, and a Masters’ degree holder in Management from HEC Paris. Ishan has nearly a decade of experience in Mergers and Acquisitions, Leveraged Buyouts (LBOs), Venture Capital Investing, Corporate Strategy, and Valuation in front-office roles at the likes of BNP Paribas CIB, Credit Agricole CIB, Groupe Danone, and TIW Private Equity. He has worked on and closed multiple acquisition deals, leveraged buyouts, and start-up investment transactions.

<ul><li>Apple reported strong financial results for Q2 of the fiscal year 2025, achieving revenue of $95.4 billion, which represents a 5% increase compared to the previous year.</li><li>This growth was at the high end of the company's guidance range, and the diluted earnings per share stood at $1.65, marking an 8% year-over-year increase and setting a record for the March quarter.</li><li>The company's Services segment achieved an all-time revenue high, with a 12% growth year-on-year, indicating robust performance across Apple’s diverse service offerings.</li></ul>

Apple reported strong financial results for Q2 of the fiscal year 2025, achieving revenue of $95.4 billion, which represents a 5% increase compared to the previous year.This growth was at the high end of the company's guidance range, and the diluted earnings per share stood at $1.65, marking an 8% year-over-year increase and setting a record for the March quarter.The company's Services segment achieved an all-time revenue high, with a 12% growth year-on-year, indicating robust performance across Apple’s diverse service offerings.

Apple Faces Crosswinds: $900M Tariff Hit, Legal Storms, and AI Lag – What’s Next?

Quantitative Researcher, MRM Research

Nico Rosti

Quantitative Researcher

MRM Research

Quantitative Research

Equity Derivatives

<ul>
<li>
<a href="https://www.smartkarma.com/entities/apple-inc" target="_blank" data-smartkarma-citation="entities:666:1" rel="noopener">Apple (AAPL US)</a> started a mild pullback after releasing its earnings on May 1st. We think this pullback may be a BUY opportunity.
</li>
<li>Some analysts believe the Trump administration’s tariffs will ultimately prove transitory. While near-term impacts are surely expected for <a href="https://www.smartkarma.com/entities/apple-inc" target="_blank" data-smartkarma-citation="entities:666:1" rel="noopener">Apple (AAPL US)</a> , they’re probably short-term in nature.</li>
<li>Our model suggests a potential buying opportunity in <a href="https://www.smartkarma.com/entities/apple-inc" target="_blank" data-smartkarma-citation="entities:666:1" rel="noopener">Apple (AAPL US)</a> may be approaching. This insight outlines the tactical considerations behind that view.</li>
</ul>



Apple (AAPL US) started a mild pullback after releasing its earnings on May 1st. We think this pullback may be a BUY opportunity.

Some analysts believe the Trump administration’s tariffs will ultimately prove transitory. While near-term impacts are surely expected for Apple (AAPL US) , they’re probably short-term in nature.
Our model suggests a potential buying opportunity in Apple (AAPL US) may be approaching. This insight outlines the tactical considerations behind that view.


APPLE (AAPL US) Post-Earnings Outlook: A Potential Tactical Buy

<ul>
<li>2Q25 small 2% beat. Products revenue (iPhone, Mac, etc) up 3% YoY. Services up 12%. Jun-25: low- to mid-single digit revenue growth YoY (inline), 100bps hit to margins or US$900m. </li>
<li>Good effort to articulate supply chain reshuffle for products sold in US: iPhone from India, the rest from Vietnam. Beyond June, no quantification of impact on costs and demand. </li>
<li>Despite low 5-8% EPS growth, the stock is expensive due to steady Services growth and large cash returns to shareholders. Trading at 29x FY25 EPS, 27x FY26. </li>
</ul>


2Q25 small 2% beat. Products revenue (iPhone, Mac, etc) up 3% YoY. Services up 12%. Jun-25: low- to mid-single digit revenue growth YoY (inline), 100bps hit to margins or US$900m. 
Good effort to articulate supply chain reshuffle for products sold in US: iPhone from India, the rest from Vietnam. Beyond June, no quantification of impact on costs and demand. 
Despite low 5-8% EPS growth, the stock is expensive due to steady Services growth and large cash returns to shareholders. Trading at 29x FY25 EPS, 27x FY26. 


Apple Mar-25 Inline, June Slightly Weak as Tariffs Hit Margins, Supplychain Reshuffling Out of China

United States

Apple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables and accessories, and sells a variety of related accessories. The Company also offers payment, digital content, cloud and advertising services. Apple Inc.'s customers are primarily in consumer, small & mid-sized business, education, enterprise and government markets worldwide.

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Apple (AAPL US)

Apple WWDC25: Nothing Announcements, and Nothing on AI.

Apple's lackluster WWDC25 highlights small software tweaks, no AI focus. Stock trading at high multiples with only driver being share buybacks....

Nicolas Baratte

Episode 117: Talking Apple in China with Patrick McGee

The author's experiences covering the Umbrella Revolution, German auto industry, and Apple led to a deep dive into the tech giant's supply chain,...

The Circuit

Apple Faces Crosswinds: $900M Tariff Hit, Legal Storms, and AI Lag – What’s Next?

Apple reported strong financial results for Q2 of the fiscal year 2025, achieving revenue of $95.4 billion, which represents a 5% increase...

Baptista Research

APPLE (AAPL US) Post-Earnings Outlook: A Potential Tactical Buy

Apple's mild pullback post-earnings presents a potential buying opportunity, despite concerns over Trump administration tariffs.

Nico Rosti

Apple Mar-25 Inline, June Slightly Weak as Tariffs Hit Margins, Supplychain Reshuffling Out of China

Apple's 2Q25 earnings show modest revenue growth. Supply chain reshuffle for US sales will impact margins. Stock remains expensive, steady...

Nicolas Baratte

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Apple WWDC25: Nothing Announcements, and Nothing on AI.

​Apple's lackluster WWDC25 highlights small software tweaks, no AI focus. Stock trading at high multiples with only driver being share buybacks....

Nicolas Baratte

Episode 117: Talking Apple in China with Patrick McGee

The author's experiences covering the Umbrella Revolution, German auto industry, and Apple led to a deep dive into the tech giant's supply chain,...

The Circuit

Apple Faces Crosswinds: $900M Tariff Hit, Legal Storms, and AI Lag – What’s Next?

Apple reported strong financial results for Q2 of the fiscal year 2025, achieving revenue of $95.4 billion, which represents a 5% increase...

Baptista Research

APPLE (AAPL US) Post-Earnings Outlook: A Potential Tactical Buy

​Apple's mild pullback post-earnings presents a potential buying opportunity, despite concerns over Trump administration tariffs.

Nico Rosti

Apple Mar-25 Inline, June Slightly Weak as Tariffs Hit Margins, Supplychain Reshuffling Out of China

​Apple's 2Q25 earnings show modest revenue growth. Supply chain reshuffle for US sales will impact margins. Stock remains expensive, steady...

Nicolas Baratte

Apple's lackluster WWDC25 highlights small software tweaks, no AI focus. Stock trading at high multiples with only driver being share buybacks....

Apple's mild pullback post-earnings presents a potential buying opportunity, despite concerns over Trump administration tariffs.

Apple's 2Q25 earnings show modest revenue growth. Supply chain reshuffle for US sales will impact margins. Stock remains expensive, steady...