Apple

Netflix and Spotify are testing ways to avoid paying Apple for new in-app subscription purchases by forcing customers to visit mobile sites for subscription sign-ups. Given this only affects new subscriptions, the financial impact on Apple will be de minimis…

Eight years ago, we wrote a note titled, “No Such Thing as a Value Stock in Internet?” The hypothesis was that technology stocks, by nature, must be growth stocks to be compelling. Technology is inherently new, so investors look for…

Apple's investment paradigm is shifting, as evidenced by the stock’s recent, steady rise. Shares are up 13% since Apple reported earnings on July 31st (6% on the report and 7% in the 14 trading days since). — Deepwater Asset Management…

We’ve recently studied Apple retail and believe it is an underappreciated competitive advantage. No other tech company has Apple’s base of 65,000 retail employees delivering face to face advice, support, and experiences. Microsoft comes in second with about 6,000 retail…

There’s hope for the digital wallet. Despite 5 plus years of announcements from Google, Samsung, PayPal, Venmo, Square, Stripe, and Apple advancing the digital wallet theme, we believe less than 20% of global smartphone users actually use their phone as a…

Apple’s key iPhone X augmented reality component supplier, Lumentum (LITE), reported better than expected Jun-18 quarter results ($301M vs expected $287M). Upside in the quarter was driven by sooner than anticipated ramp in the AR/3D sensing business. The company continues…

Today Apple became the first U.S. company in history to reach a $1 trillion market cap. What it tells us: In the long run doing the right thing is rewarded. Focus on one product, perfect it, protect user privacy, practice supplier…

The big picture: Apple’s June quarter results are evidence that the Apple story is moving away from a focus on the iPhone toward a more predictable Services-driven business that returns $25B in capital to investors each quarter. These results support our Apple…

We believe an upcoming paradigm shift in investing in Apple will move shares meaningfully higher over the next two years. Apple reports Q3 results on Tuesday, July 31st. Here’s what we expect: iPhone units of 41.6M (+3% y/y), essentially in-line with the…

We asked Siri, Google Assistant, Alexa, and Cortana 800 questions each. This time, Google Assistant was able to answer 86% of them correctly vs. Siri at 79%, Alexa at 61%, and Cortana at 52%. As part of our ongoing effort…

AMS AG, a 3D sensor provider to Apple, issued guidance ~9% higher than the Street for the Sep-18 quarter. This is further evidence that advanced 3D sensing and AR will be key features in the new iPhones coming this fall,…

Yesterday, Techcrunch reported that Apple’s head of AI, John Giannandrea, will take responsibility of Siri from Craig Federighi. This formalizes our April expectation that Apple’s voice program should be moved into its AI group. Voice is currently one of the…