To The Moon

$Apple(AAPL)$ 's WWDC 2025 keynote, held on 09 June 2025, has left many investors and analysts underwhelmed regarding its immediate AI strategy, leading to a slight drop in stock price.

While Apple did announce updates to its "Apple Intelligence" suite and opened its foundation models to developers, the highly anticipated major overhaul of Siri was delayed, with Apple stating it needs more time to meet its "high quality bar."

In this article, I would like to share the breakdown of the key points that I have found regarding Apple's AI comeback potential after WWDC 2025:

WWDC 2025 AI Announcements

Apple Intelligence Updates: Apple showcased modest AI enhancements for iOS 26, iPadOS 26, macOS Tahoe 26, and WatchOS 26. These include features like Live Translation, improved Visual Intelligence (allowing on-screen searches from screenshots), AI-powered poll suggestions in Messages, and an AI-powered "Workout Buddy" for Apple Watch.

Foundation Models Framework: Apple is opening its on-device AI models to third-party developers, allowing them to integrate Apple Intelligence into their apps.

ChatGPT Integration: Apple Intelligence's image generation (Image Playground) and Shortcuts now have ChatGPT support, though Apple emphasizes user control and permission for sharing data.

Siri Delay: A significant disappointment was the continued delay of a more intelligent and conversational Siri. Apple stated this update requires more development time.

Focus on Design: A notable aspect of WWDC 2025 was Apple's emphasis on a new "Liquid Glass" design for its software, indicating a focus on user interface and experience, which some see as a return to Apple's core strengths but not necessarily a groundbreaking AI push.

Analyst and Market Reaction

Underwhelmed Investors: Many market participants felt the AI announcements lacked the ambition and "killer app" seen from competitors like Google and Microsoft, who have pursued more aggressive generative AI strategies.

Stock Dip: AAPL saw a 1.2% decline following the WWDC keynote, reflecting investor disappointment and concerns about Apple's pace in the AI race. The stock is down around 20% year-to-date.

"Dud" and "Yawner" Characterizations: Some analysts, like CFRA Research's Angelo Zino and Wedbush's Dan Ives, described the event as a "dud" or "yawner," highlighting the absence of truly groundbreaking AI innovations.

Long-Term vs. Short-Term: While some analysts remain bullish on Apple's long-term AI strategy, they acknowledge that investors will need patience as the company navigates its cautious approach. Some predict that a more substantial AI impact, particularly with Siri, might not materialize until 2026 when Apple might adopt 2nm chips for a significant increase in AI performance.

Reliance on Hardware Cycles: Critics suggest Apple's conservative AI approach and focus on on-device processing may limit its competitiveness in a cloud-driven, enterprise-focused AI landscape, leaving it more reliant on consumer hardware upgrade cycles.

Can Apple Make a Comeback with AI?

Despite the lukewarm immediate reaction, Apple's ability to make a significant AI comeback is still possible but likely hinges on several factors:

Successful Siri Overhaul: A truly intelligent and seamlessly integrated Siri, as envisioned by Apple, could be a game-changer. The current delay is a concern, but if Apple delivers a highly personalized and capable AI assistant, it could significantly enhance the user experience across its ecosystem.

Compelling Developer Adoption: The opening of Apple's Foundation Models to third-party developers could lead to innovative AI-powered applications that leverage Apple's hardware and privacy-focused approach. The success of this framework will depend on developers finding compelling use cases that drive user engagement.

Hardware-Software Integration: Apple's core strength lies in its ability to tightly integrate hardware and software. If future iPhones and other devices are designed to leverage AI capabilities in a way that competitors cannot easily replicate, it could drive upgrades and attract new users.

Privacy Differentiator: Apple's strong emphasis on on-device processing and user privacy for its AI features could resonate with consumers increasingly concerned about data security. This privacy-centric approach could become a key differentiator.

Future Innovations: Apple's long-term strategy may involve more significant AI advancements that haven't been revealed yet. Rumors of a thinner "Air" iPhone and other higher-value models with enhanced AI capabilities could be future catalysts. Acquisitions in the AI space are also a possibility.

Technical Analysis - What Current Share Movement Say

Apple after their WWDC conference guys the stock went almost down 2%, but it manage to gain a modest 0.61% on Tuesday (10 June),

The bulls are lacking direction despite a modest gain, as they are trying to make a daily uptrend going but AAPL share price is between resistance from 210 to 221 and support is down to 187 and 196, so I can say that we are trapped in that range.

On the weekly time frames, we can see a wide range of accumulation as Apple continues to struggle with its AI rollout, it also continues to struggle with its iPhone refresh cycle, and it continues to struggle with some updated costs in terms of tariffs.

Apple revenue run rate is also a bit slow and we are seeing weekly positive momentum, so we can buy at the bottom end of the range and then try to sell towards the top while keep our stop losses below one of the most recent lows around the 192 .

I think we might want to do selling options in the lower 190 as a decent day of volatility can have AAPL move down and for bullish investors you can consider sell some puts in the lower 190s.

Summary

While WWDC 2025 did not deliver the immediate "wow" factor for Apple's AI, the company is clearly laying the groundwork for a longer-term strategy.

A true "comeback" with AI will depend on Apple successfully delivering on its promises, particularly with Siri, fostering a thriving developer ecosystem, and demonstrating how its unique approach to AI (balancing innovation with privacy) can translate into tangible benefits for users and ultimately, stronger financial performance.

I think investors are currently taking a "wait and see" approach, and patience will be key to observing if Apple's AI efforts truly pay off.

Appreciate if you could share your thoughts in the comment section whether you think Apple would be able to show more tractions with its AI efforts and delivering its promises to wow investors again.

@TigerStars @Daily_Discussion @Tiger_Earnings @TigerWire appreciate if you could feature this article so that fellow tiger would benefit from my investing and trading thoughts.

Disclaimer: The analysis and result presented does not recommend or suggest any investing in the said stock. This is purely for Analysis.