Apple is a leading manufacturer of personal computers and mobile communication devices. Its portfolio includes brands such as the iPhone (68.6% of its 1Q15 revenues; FY ended September 2014), the iPad (12%) and the Macintosh (9.3%). Apple also offers portable music devices (the iPod) and software for its devices.
We believe that Apple is aiming to become a leading player in the Internet of Things (OIT) space; Its new products (iPhone 6 and Apple Watch) and services are aimed towards this objective. Given its strong user connect we believe this objective is attainable and should add on to the company’s revenues in the coming years. In addition, the company’s product growth cycle has bottomed and is back on the growth track.