Apple Stock To End 2025 On A High Note? 3 Product Announcements To Watch (And It's Not The iPhone)

Apple is poised to update several less-frequently refreshed products later this year, including the Apple TV 4K, HomePod mini, and AirTag 2, alongside the anticipated iPhone 17. These planned enhancements, such as the A17 Pro chip for Apple TV and improved range for AirTag 2, are expected to drive consumer upgrades due to significant feature improvements after extended update cycles. This strategy aims to bolster monetization opportunities and contribute to Apple's Services revenue growth by encouraging existing users to trade up.

Analysis

Apple's product strategy for late 2024 appears focused on driving a broad-based hardware refresh cycle that extends beyond the flagship iPhone 17. The company is preparing significant updates for ancillary products that have not been refreshed in several years, including the Apple TV 4K, HomePod mini, and AirTag. The planned Apple TV update, its first since 2022, is particularly notable for its reported inclusion of the A17 Pro chip, which would embed 'Apple Intelligence' directly into the smart home ecosystem. Similarly, the HomePod mini is expected to receive its first major update since 2020 with a new S9 chip, while the AirTag 2 is anticipated to feature a chip that triples its range. This strategy of coupling long-overdue updates with substantial feature enhancements is designed to incentivize upgrades among existing users. This approach is positioned not just to boost hardware sales but also to support the growth of the high-margin Services division by increasing the density of new, connected devices in consumers' homes, which can then be covered by protection plans. Despite this positive product pipeline, AAPL stock was recently down 0.30% to $230.89 and has declined 7.80% year-to-date in 2025.

Key Decisions for Investors

• Investors should view the upcoming refresh cycle for ancillary products like the Apple TV and HomePod mini as a potential catalyst for hardware revenue, as the multi-year gap since the last updates could drive a significant upgrade wave.
• Monitor the integration of the A17 Pro chip and 'Apple Intelligence' into the Apple TV, as this represents a strategic expansion of Apple's AI ecosystem into the smart home, which could strengthen its competitive moat and support Services revenue growth.
• The pricing of the new AirTag 2 will be a key indicator of Apple's pricing power for non-core products; a price increase above the current $29 level would signal confidence in the value of its feature enhancements.
• Despite the optimistic product outlook, the stock's recent underperformance relative to its 52-week high suggests that market reception to the September and October product launches will be a critical factor in determining the share price trajectory.