Apple AAPL, at this year’s annual Worldwide Developers Conference (WWDC), introduced a plethora of updates in its major platforms — iOS 26, iPadOS 26, macOS Tahoe 26, tvOS 26, visionOS 26 and watchOS 26 — along with a new software design crafted with a new material called Liquid Glass. The translucent material reflects and refracts its surroundings and intelligently adapts between light and dark environments. Liquid Glass makes apps and system experiences more expressive, offering users greater focus on content.

At WWDC25, the company announced new Apple Intelligence features like Live Translation, updates to visual intelligence, as well as enhancements to Image Playground and Genmoji. Shortcuts can access Apple Intelligence directly. Developers also get access to the on-device large language model, which is at the core of Apple Intelligence. The latest features are now available for testing and are expected to be generally available this fall with supported devices. 
  
Apple is expanding Services with AutoMix and Lyrics Translation features in Apple Music. Sing will allow users to transform their iPhones into a handheld microphone for Apple TV, while preferred routes and visited places in Apple Map make navigation easier for users. Apple Intelligence is now getting added to Apple Wallet, and users can make purchases with Apple Pay. Powered by Apple Intelligence, Apple Wallet can now automatically identify, summarize and display order tracking details from emails sent from merchants or delivery carriers. Meanwhile, Apple Pay expands the ability to pay with rewards and installments to in-store purchases for added flexibility and choice.

The latest features and the Liquid Glass software design bode well for Apple’s prospects, although Apple Intelligence features lacked the “wow” factor. Apple continues to play catch-up in the AI domain against the likes of Amazon AMZN, Microsoft MSFT and Alphabet GOOGL. Apple shares have declined 19.1% year to date (YTD), underperforming the Zacks Computer & Technology sector’s appreciation of 2.5%. While Microsoft shares have returned 11.8% YTD, Amazon and Alphabet dropped 0.9% and 5.6%, respectively.

Image Source: Zacks Investment Research

So, what should investors do with Apple stock post the WWDC25 announcements? Let’s find out.

Apple stock has suffered from U.S. President Donald Trump’s decision to levy tariffs on trade partners, including China, Mexico and Canada. China is an important market for Apple as the iPhone maker’s manufacturing is primarily concentrated in the country. Higher tariffs negatively impact Apple’s China supply chain. The Trump administration’s decision to exempt electronic devices like smartphones and computers from reciprocal tariffs provided some relief to Apple.  

Tariffs are currently expected to have a negative impact of roughly $900 million in the third quarter of fiscal 2025. Apple expects gross margin between 45.5% and 46.5% for the current quarter. In the fiscal second quarter, Apple reported a gross margin of 47.1%.

Apple has been suffering from sluggish demand for the iPhone in China amid increasing competition from the likes of Huawei and Xiaomi, as well as the lack of Apple Intelligence. Greater China sales decreased 2.3% year over year in the second quarter of fiscal 2025.