Apple Technology Outlook

Investing.com — Piper Sandler analysts stated that Apple (NASDAQ:AAPL)'s new technology, Apple Intelligence, will not lead to a super cycle in handset demand for the 2024 holiday season.

Key Insights

• Piper Sandler believes that Apple Intelligence limits potential upside for companies within the radio frequency (RF) supply chain.
• They noted that the new iPhone lineup will not significantly boost RF companies.
• The firm predicts "largely seasonal to slightly below seasonal upturns" for the holiday period instead of a demand surge.

Semiconductor Landscape

• The outlook aligns with feedback from management teams.
• While AI compute is driving growth in semiconductor markets, analog and mobile-related companies are likely to underperform.
• Piper Sandler maintains a neutral stance on RF and analog companies, indicating these segments won't see meaningful benefits from Apple's latest product cycle.

Conclusion

• Although Apple Intelligence introduces new features, it is not expected to create a significant shift in iPhone demand during the holiday season.
• For semiconductor stocks, Piper Sandler sees the most upside in computation companies while remaining neutral on analog and RF sectors.