Core Viewpoint - Apple has faced significant challenges in 2025, with stock performance lagging behind peers, but July may signal a potential recovery due to historical seasonal trends [1][3]. Group 1: Stock Performance - As of the end of the last trading session, Apple's stock was valued at $201, reflecting a daily increase of over 2%, yet it remains down more than 17% year-to-date [1]. - Historical data indicates that July is Apple's strongest month, with gains in 93% of sessions and an average return of 7.2%, significantly outperforming other months [3]. Group 2: Market Challenges - Apple has encountered several headwinds in 2025, including trade tensions between the U.S. and China, which have created uncertainty regarding iPhone pricing and margins, given that 80-90% of production is based in China [5]. - iPhone sales, particularly in China, have slowed due to increased competition from local brands like Huawei and Vivo, contributing to pressures in a saturated smartphone market [6]. - The company has struggled to establish a strong presence in the AI sector, with limited traction since the introduction of new AI features at WWDC 2024 [6]. Group 3: Strategic Moves and Legal Issues - Reports suggest that Apple is exploring external partnerships, including a potential acquisition of AI startup Perplexity, to enhance its AI capabilities [7]. - The company is currently facing a securities fraud class action lawsuit in San Francisco, where shareholders allege that Apple misled investors about the readiness of AI-powered Siri upgrades, which were expected to boost iPhone 16 demand but have been delayed until 2026 [8].
Here's why you should buy Apple stock before July 1