Apple (AAPL) Stumbles: The Laggard of the Magnificent 7 in 2025
Once the darling of Wall Street, Apple’s stock is dragging its feet—while its tech peers sprint ahead. What’s weighing down the iPhone giant?
Innovation Drought or Just Bad Timing?
No groundbreaking hardware. No AI moonshot. Just incremental updates and a VR headset that costs more than a used Tesla. Meanwhile, rivals are eating its lunch in AI and cloud.
The China Problem No One Wants to Talk About
Supply chain snarls and slowing demand in its golden goose market aren’t helping. But hey—at least the Vision Pro makes for a pricey paperweight.
Wall Street’s Love Affair Cools
Analysts are finally asking the hard questions: Can a company this big grow without another category-defining hit? Or is Apple now just a glorified dividend stock with a cult following?
Funny how ’magnificent’ starts to look like ’mediocre’ when your PE ratio relies on buybacks instead of breakthroughs.
Apple (AAPL) Continues To Grow Abroad
Meanwhile, Apple has been expanding its reach abroad in fear of returning tariffs and to spread its operations. The company’s aggressive manufacturing India strategy, backed by Foxconn’s massive $1.5 billion investment, could be the key driver that pushes AAPL stock out of its recent rut. However, there are other factors weighing Apple (AAPL) shares down compared to Mag-7 competitors.
The seven magnificent companies in the US have raced into the Artificial Intelligence (AI) sector. AI has been a promising avenue for revenue and growth in the tech industry, and several companies have already captured their share of the market. Microsoft has embedded generative AI into Office, Windows, and Azure. The Windows developer is also working on the next frontier, agentic AI. Meanwhile, Google has rolled out Gemini across just about all of its products, and Meta is pivoting from the metaverse to machine learning. All the while, Nvidia’s chips have become the mainstay leader powering the AI industry.
However, Apple was late to the AI party. The iPhone developer finally unveiled Apple Intelligence, a suite of AI-driven features and a Siri revamp powered by ChatGPT, last year. But since Apple joined AI late and largely relied on a partner rather than its own breakthrough, Apple Intelligence hasn’t performed as well. With this area having so much time and funding dedicated to it and not returning revenue as strongly yet, Apple investors have gotten worried. This, in turn, has kept AAPL shares from climbing out of their hole. With a new launch hopefully coming this fall, perhaps Apple Inc. could see its stock rebound, but for now, times are tough.,