Numerous articles discussing the new models vastly underperforming estimates and expected sales volumes. Meanwhile, when the SE launched it sold very well. I think they’d have a similar success with an SE2 given those two factors and the age of the SE. I doubt the factors that led people to purchase the SE have changed toward the negative in that time.
Your statement implies that you believe that Apple are making larger phones which don’t sell as well, and that they know that smaller phones would sell in greater volume but are choosing not to do that.