Market's New Hope for Apple (AAPL) ‘Super Cycle' After AI Dissappointment: iPhone Air
'Let me tell you what is new and notable in this report here. Loop is saying they're increasing their expectations for the iPhone Air. Now this is that super thin model of the iPhone that's rumored to be coming this fall. Loop actually nearly doubled iPhone Air build estimates from 16 million to 33 million by the end of the year. That would be about 30% of all iPhone 17 models expected to be produced this year. And we're going to be talking a lot about this after Apple whiffed on artificial intelligence year and missed out on a super cycle surge in iPhone sales. The real question is: can Apple make cool smartphones again? We haven't really seen any major design changes since 2020 super cycle. From AI, of course, never happened, but design changes are actually proven to spur super cycles.'
A wide view of an Apple store, showing the range of products the company offers.
Sands Capital Select Growth Fund stated the following regarding Apple Inc. (NASDAQ:AAPL) in its Q1 2025 investor letter:
'We exited Apple Inc. (NASDAQ:AAPL) in March to fund what we view as compelling additions to existing holdings during the market selloff and to strengthen our cash position for future opportunities. Apple's inclusion in Select Growth was intended to provide stability to the portfolio. However, in the current market environment, we see greater upside potential in other businesses and view cash as a more effective tool for downside protection and opportunistic deployment. We remain positive on the potential for shorter replacement cycles for computers and mobile devices driven by Apple Intelligence. That said, the delayed rollout of AI features—and Apple's acknowledgment that some may be indefinitely postponed—could limit its ability to exceed earnings expectations. Apple remains a leading global technology business with a vast hardware and software ecosystem, strong customer lock-in, and powerful network effects. We will continue to monitor its progress and its potential fit within the Select Growth portfolio.'
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Disclosure: None. This article is originally published at Insider Monkey.
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