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These other devices are all cheaper and less popular than the iPhone. This quarter the category that includes the AirPods and Watch made one fifth what the iPhone did. To contribute 10% of company revenue growth, this category needs to double. Maybe the category has room to double once, but will it 10x over the next five years? You would need performance like that to justify a high PE ratio.

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You said this:

>AAPL seems to have hit its peak in the device market, and can only grow revenues at this point by effectively raising prices on existing customers (that’s what the services category amounts to). This strategy can only take them so far.

Which is inaccurate. They have continued to add new products, like the Watch and AirPods. So when do you think they hit "peak device" ? You mean peak iPhone? No argument from me, they might have. But there are ways to grow revenue without just increasing prices, as those other products have demonstrated. They have also proven that the can grow revenue with their services, which is now a bigger revenue generator than iPhone.

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