We recently compiled the following list. Top 10 Internet of Things (IoT) Stocks to Buy. In this article, we’ll take a look at how Apple Inc. (NASDAQ:AAPL) stands compared to other IoT stocks.
The Internet of Things (IoT) is a vast network that connects physical objects to the Internet. Industries are adopting IoT technology for applications such as smart manufacturing and supply chain management. Business IoT spending is expected to slow in the second half of this year due to economic concerns that will impact overall business spending. However, enterprise spending on IoT will rebound in 2025. The global market for IoT is expected to grow at an annual rate of 24.3% from 2024 to 2032. By 2032, its value is expected to reach $4,623.4 billion.
The rise of smart homes, buildings, manufacturing, and advances in smart infrastructure are driving significant growth in the IoT market. Additionally, smart city initiatives are becoming increasingly popular due to population growth and urban expansion. Consumers are adopting smart city solutions such as smart utility meters, transportation, waste management, power grid, and air quality controllers.
Other sectors, particularly healthcare, are also seeing rapid adoption of IoT. The global IoT in healthcare market is expected to expand significantly and reach $952.3 billion by 2032, growing at a compound annual growth rate (CAGR) of 18%. IoT is a major force behind the digital transformation of healthcare, revolutionizing the way healthcare data is collected, analyzed, and used. This enables improved patient care, increased operational efficiency, and innovative treatments.
The introduction of IoT in warehouse management is also progressing. The global IoT warehouse management market is projected to grow from $14.8 billion in 2023 to $57.2 billion by 2033, reflecting a CAGR of 14.5% over the next decade. This growth is being driven by the need to improve inventory management, increase automation, and increase operational efficiency in logistics and supply chain operations.
Related article: 10 Internet content stocks to buy
In terms of market segmentation by technology, WiFi, Bluetooth, and cellular IoT account for 80% of the global IoT market. Wi-Fi accounts for 31% of all IoT connections. Meanwhile, Bluetooth is used by 25% of connected IoT devices, and cellular IoT, including 2G, 3G, 4G, 5G, LTE-M, and NB-IoT, accounts for almost 21% of global IoT connections .
A key trend in the IoT market in 2024 is the integration of AI technologies, such as generative AI and edge AI, into IoT devices. Edge AI in particular is transforming the IoT landscape. By allowing IoT devices to process and store data locally, edge AI reduces latency and enables real-time responses. Incorporating AI into IoT devices within your industry offers many benefits, including improved operational efficiency, safety, and decision-making. It plays a key role in predictive maintenance and supply chain management.
The future of IoT looks promising. As technology continues to evolve, companies and investors can expect significant returns. With this background in mind, let’s take a look at the best IoT stocks to buy right now.
our methodology
To create our list of the 10 best IoT stocks to buy, we focused on companies that provide IoT solutions or products, such as companies involved in manufacturing IoT devices or hardware. These companies are shortlisted based on hedge fund sentiment from a database of over 900 hedge funds. We ranked the best IoT stocks as of Q2 2024 by the number of hedge funds that own the stock.
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A wide view of the Apple Store showing the range of products offered by the company.
Apple Inc. (NASDAQ:AAPL)
Number of hedge fund holders: 184
Apple Inc. (NASDAQ:AAPL) is a technology giant known for its innovative products. Apple Inc.’s (NASDAQ:AAPL) famous product, the iPhone, is central to the company’s IoT strategy.
At the Worldwide Developers Conference, Apple Inc. (NASDAQ:AAPL) shared exciting updates including Apple Intelligence. This feature builds on years of AI and machine learning innovations, including writing tools for self-expression, an image playground for creative image generation, and powerful tools for summarizing notifications. Provide.
Apple Inc. (NASDAQ:AAPL) reported a new record in June quarter revenue, reaching $85.8 billion, up 5% year-over-year. Additionally, earnings per share increased by double digits to $1.40. The company also achieved quarterly revenue records in more than 20 countries and territories, including Canada, France, Mexico, Germany, India, the United Kingdom, Indonesia, Thailand and the Philippines. Additionally, Apple Inc. (NASDAQ:AAPL) increased by 14%, setting a revenue record for its services sector.
Apple Inc. (NASDAQ:AAPL) receives an average rating of Fair Buy due to its financial strength, strong brand image, and product diversification.
Here’s what Baron Funds said about Apple Inc. (NASDAQ:AAPL) in its Q2 2024 investor letter:
“Recent Activity This quarter, we resumed the following positions: apple companyis a leading technology company known for innovative consumer electronics products such as the iPhone, MacBook, iPad, and Apple Watch. Apple is a leader across categories and geographies, and has a growing installed base, with more than 2 billion devices worldwide. The company’s ancillary services (App Store, iCloud, Apple TV+, Apple Music, Apple Pay, etc.) provide higher margins and recurring revenue streams, strengthen the value proposition of its hardware products, and improve its financial profile. I will. Apple now has well over 1 billion subscribers paying for these services, more than double the number of subscribers it had just four years ago. The increased service mix has led to healthy operating margin improvements, giving Apple more free cash flow that can be reinvested in the business or distributed to shareholders. Throughout its 48-year history, Apple has successfully leveraged key technologies, from PCs to mobile to cloud computing. We believe our leading brand and device ecosystem allows us to do just as well in the AI era, and this was the driving force behind our decision to reinvest. Apple Intelligence, the AI strategy announced at Apple’s recent Worldwide Developer Conference, leverages on-device AI and integration with tools like ChatGPT to enhance user experiences across the ecosystem. The AI suite allows users to create new images, summarize and generate text, and use Siri to take actions across mobile applications while maintaining user privacy and security. We believe Apple Intelligence will accelerate product upgrade cycles and increase demand for Apple services. The combination of re-accelerating growth, increasing service contributions and prudent capital allocation should continue to improve long-term shareholder value. ”
Entire AAPL 5th place Included in our list of the best IoT stocks to buy. While we acknowledge AAPL’s potential as an investment, we believe AI stocks are more likely to deliver higher returns and achieve them in a shorter time frame. If you’re looking for AI stocks with more promise than AAPL, but trading at less than 5x earnings, check out our report. cheapest AI stocks.
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Disclosure: None. This article was originally published on Insider Monkey.
