Apple investors losing patience with AI delays after WWDC

TL;DR

Apple investors are losing patience with the company's AI strategy following the Worldwide Developers Conference.
The stock experienced its worst week since February, failing to convince Wall Street about an imminent AI-driven upgrade cycle.
Apple's overhauled Siri will launch this autumn as a beta, built on a Google Gemini model using Nvidia GPUs.
New AI features will not initially be available in the EU or China due to regulatory and timeline issues.
Analysts did not adjust revenue estimates post-conference, suggesting the market had already priced in the announcements.
Apple stock trades at a premium valuation, dependent on an AI-driven iPhone upgrade cycle that has been repeatedly delayed.
Revenue growth is projected to slow after fiscal 2026, making the current valuation hard to justify without a clear catalyst.
Counterarguments for Apple's valuation include its large cash pile, strong balance sheet, buybacks, and a vast installed base.
A third-party AI extensions framework for Siri could potentially turn the iPhone into a distribution platform for other AI services.
Reports of future product developments like camera-equipped AirPods and a 20th-anniversary iPhone for 2027 provided a temporary lift.
Critics argue Apple has not demonstrated how it will charge for AI tools or achieve cost savings, and appears overly dependent on Alphabet.

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