Chowdhry: Apple Investors 'Have To Change Their Perspective' About New Products And WWDC

Apple Inc. AAPL's week-long Worldwide Developers Conference brought a number of small announcements this week, including Apple Music, iOS 9 and OS X El Capitan. The remaining events mostly consist of labs that are designed to educate developers about Apple's evolving software and toolkits.

This is great for the app community, but what about investors? Should they sit up and take notice or is it time to move on from WWDC 2015?

"I think the most important thing [to] think about [is that] there are only 5,000 people who are [at WWDC]," Global Equities Research analyst Trip Chowdhry told Benzinga.

"By the way, investors have to change their perspective."

Chowdhry said that investors focus too heavily on the supply chain. "That is a completely wrong way to look at the industry," he explained. "The way to look it is not from a supply side, but from a demand side. What creates demand? It is applications. What causes applications to be created?

"Developers. Developers make applications."

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"Devices are used not because of what it looks like, but what are the capabilities of the device, which factors into apps, which factors into developers," said Chowdhry. "That is where the focus of investors needs to be. That is exactly what WWDC is all about."

Chowdhry believes that WWDC can create demand for Apple devices by inspiring more developers to build new apps. He said investors are "totally dismayed and disappointed" because they don't understand what Apple is really about.

"What is a device going to do without any apps or compelling use case scenarios or compelling user experiences?" Chowdhry questioned. "WWDC is very important because it sets the tone for what is coming from a demand generation point of view. What is coming? What are our tools?"

Chowdhry added that Apple is "empowering" developers to create significant apps. He said app developers are "excited" about the "possibilities and technologies" Apple has provided.

"The most compelling applications are hardly from Apple," he added. "They're from third-party developers."

Disclosure: At the time of this writing, Louis Bedigian had no position in the equities mentioned in this report.