This New Product Launch Could Spark Apple's Sales Next Year

Core Viewpoint - Apple is currently facing a significant growth challenge, with a lack of compelling reasons for consumers to upgrade their iPhones, leading to a 17% decline in stock value this year [1][10]. Group 1: Sales Performance - Over the past six months, Apple's net sales reached $219.7 billion, reflecting only a 4% increase year-over-year, with product-related revenue at $166.7 billion growing by just 2% [7]. - The company's growth rate has shown some improvement recently, but it underscores the ongoing struggle to achieve consistent top-line growth [8]. Group 2: Future Prospects - There is potential for growth as Apple is reportedly developing a foldable iPhone, which could be launched as early as next year, possibly revitalizing sales [4]. - If Apple can address common issues with foldable phones, such as the crease in the middle, and introduce new AI capabilities, it may attract more consumers and investors [5][6]. Group 3: Investment Considerations - Apple's stock trades at approximately 33 times its trailing earnings, making it less attractive compared to the average S&P 500 stock, which trades at under 25 times [10]. - Given the current challenges and high valuation, it is suggested to adopt a wait-and-see approach before considering investment in Apple stock [11][13].