Is Apple Really A One-Trick Pony?

Shares of Apple Inc. AAPL have lost nearly 25 percent over the past year as investors and fund managers are warming up to the reality that the company is a "one-trick pony" that only sells hardware devices.

Jeff Desjardins of the Visual Capitalist is the latest to add his name to the Apple bear camp. In a blog post, he discussed why Apple's "robust" iPhone sales is in reality the company's "biggest weakness."

According to Desjardins, Apple's over-reliance on its smartphone isn't normally a problem when the category is hot and growing. However, iPhone sales fell by 16 percent in the second quarter compared to a year ago.

Related Link: Apple's Newest iPhone Won't Have Many Changes

iPhone sales represented 65 percent of total sales, followed by 12 percent in services, 10 percent Mac sales, 9 percent iPad sales and 4 percent in the "other" category.

Sales of hardware devices accounted for a whopping 84 percent of total revenue which begs the question: what will Apple's next big ticket product be.

Many investors are quick to point out the huge runway ahead for Apple in the "other" category which includes the Watch, TV, Beats and other hardware devices.

However, Desjardins pointed out that even if the "other" category continues growing at an impressive 30 percent rate, it will take 10 years before it can meaningfully contribute to the income statement relative to the iPhone.

To many investors, this certainly sounds like a textbook definition of a "one-trick pony" company.