Is AAPL a good stock to buy? We came across a bullish thesis on Apple Inc. on X.com by @MoneyShow. In this article, we will summarize the bulls’ thesis on AAPL. Apple Inc.’s share was trading at $307.34 as of June 5th. AAPL’s trailing and forward P/E were 37.21 and 32.15 respectively according to Yahoo Finance.
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Apple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories worldwide. Apple Inc. (AAPL) delivered a standout quarter, with the company reporting revenue growth of approximately 17%, comfortably beating expectations and reinforcing the strength of its ecosystem at a time when it was still viewed as a mature, slow-growing platform a few years ago.
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The performance was primarily driven by exceptional momentum in iPhone sales, particularly the iPhone 17, which has become the most successful model in the company’s history, alongside continued strength in services, which remains a key high-margin growth engine. Importantly, Apple also guided to next-quarter revenue growth of 14%–17%, significantly ahead of Street expectations of around 9%, signaling that demand durability is extending beyond a single upgrade cycle and into a broader acceleration narrative.
While margins may face some near-term pressure from rising memory costs, the overall earnings quality remains strong, with few material weaknesses in the quarter. The results further strengthen confidence in Apple’s strategic transition period, acting as a smooth handoff moment from Tim Cook’s leadership to incoming CEO John Ternus, who is expected to inherit a business that is structurally more resilient and AI-adjacent than previously perceived.
Looking ahead, investor focus is shifting toward Apple’s Worldwide Developers Conference, where expectations are building around a more meaningful artificial intelligence strategy, including long-awaited improvements to Siri and a broader AI-enabled product suite.
Notably, Apple is expected to pursue this AI transition with materially lower capital intensity compared to hyperscale peers, with estimated 2026 capex of roughly $12.8 billion versus Meta at $125–145 billion, Amazon at $200 billion, Alphabet at $180–190 billion, and Microsoft at $190 billion, underscoring a capital-efficient model that could support higher long-term returns on invested capital. With accelerating growth, improving product cycles, and expanding AI optionality, Apple’s setup remains strongly positive, with continued rerating potential if AI execution begins to close the gap with larger spenders.
Previously, we covered a bullish thesis on Apple Inc. (AAPL) by Kontra Investment Xchange in October 2024, which highlighted Apple’s ecosystem strength, high-margin services growth, and durable iPhone-driven profitability. AAPL’s stock price has appreciated by approximately 30.78% since our coverage. @MoneyShow shares a similar bullish view but emphasizes accelerating 17% revenue growth and AI-led rerating potential.
Apple Inc. is on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 170 hedge fund portfolios held AAPL at the end of the first quarter which was 169 in the previous quarter. While we acknowledge the risk and potential of AAPL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than AAPL and that has 10,000% upside potential, check out our report about this cheapest AI stock.
Disclosure: None.
