NEW YORK (TheStreet) -- Apple (AAPL) - Get Report will use a new Apple TV app called "TV" that aggregates multiple video sources to take on the TV industry, the company announced on Thursday. Previously, users had to search across multiple content apps for a show to watch on AppleTV.

But this move is "flawed" because other players like Amazon.com (AMZN) and Hulu have already made a hub for content to make TV viewing more convenient for users, Pacific Crest Securities' Andy Hargreaves said on CNBC's "Power Lunch" on Monday afternoon.

All of these players are trying to "become the front end" for content, but Apple's problem is that the most popular content platform apps aren't available on its new app, he explained. "Without Netflix and Amazon and YouTube as part of that app, I don't think anybody is going to tune in," he said. 

In addition, the traditional content players already have significant user bases, but Apple could still win some market share if it created something that was actually unique, Hargreaves claimed. "I think given where we are now, there's still time for them to have an effective video strategy. It just has to be something different. It has to be their own service and something with scale."

Shares of Apple were higher in late afternoon trading on Monday. 

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Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

TheStreet Ratings team rates Apple as a Buy with a ratings score of A. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that the team rates.

You can view the full analysis from the report here: AAPL

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