Apple’s AI Lag Weighs on Stock Performance Amid Tech Sector Shift
Apple's stock remains the weakest performer among the Magnificent 7 this year, down 5.3% year-to-date despite a 35% rebound from April lows. The Cupertino giant's reluctance to prioritize AI investment—while doubling down on capital returns—has left it trailing peers in a market increasingly driven by artificial intelligence innovation.
Financial strength persists with a AAA-rated balance sheet and industry-leading ROIC, but stagnant growth projections highlight a widening gap with AI-focused competitors. As tech valuations hinge on future-facing capabilities, even Apple's legendary consistency faces scrutiny.