emirates7 - For Apple investors, patience may be beginning to wear thin. After a tumultuous 2024, many were hoping 2025 would provide more optimism, but Trump’s tariffs may have squandered that expectation.

The world’s largest company reported worse-than-expected sales in China in its most recent earnings and warned that tariffs will increase costs during the current quarter. Apple said it expects USD$900 million in higher costs during the current quarter, a clear sign that Trump's tariff turmoil is hitting the iPhone maker hard.

The bright spot for the quarter was revenue beat expectations, with product sales likely increasing during the last quarter, as consumers looked to get ahead of potential cost increases throughout 2025. However, its services revenue, which had been a positive feature in previous quarters, missed expectations and saw growth slow to just 12%.

AI couldn’t even come to the rescue for Apple, with CEO Tim Cook saying some AI rollouts would be delayed until 2026, a disappointing sign when other Magnificent Seven names are monetising AI significantly already.

With shares down 15% in 2025, and this result not offering much in the way of positivity, investors will feel there are better opportunities in the market right now. This isn’t necessarily a rotten Apple, but it’s not exactly the pick of the bunch right now.