Wells Fargo Sees 'Some Promise' From Apple's WWDC Announcements

Wells Fargo on Tuesday provided "scant details" on what the firm thought was interesting from Apple's AAPL announcements at the Worldwide Developers Conference (WWDC) and maintained the firm's Market Perform rating.

Wells Fargo analyst Maynard Um summed up the revelations at WWDC as, "Mostly incremental announcements though with some promise."

With a lack of any new announcements in hardware and a cursory address of the home automation capabilities, in Um's opinion, the most important announcement was Apple's HealthKit/health app.

In light of the HealthKit and HomeKit apps announcements, Um sees limitations to widespread adoption given the high cost of products, which Um believes won't do much to drive incremental market penetration on Tuesday.

Um cites the Market Perform rating being based on limited market cap opportunity in Apple's current markets playing in the expectation for gross margin pressures in the upcoming cycle, beginning signs of a balance of power shift between operators and handset vendors, and what Um feels to be increasingly lofty expectations.

Apple closed Monday at $628.65; shares are down a slight 0.17 percent at $629.57 shortly after the opening bell.