Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Brokers raise Apple stock targets; Jefferies says XR may be the new AI

Published 2023-06-02, 08:00 a/m
Updated 2023-06-02, 08:00 a/m
© Reuters.

© Reuters.

Wall Street analysts are lifting price targets on Apple (NASDAQ:AAPL) shares as the AI-led frenzy continues to drive tech stocks higher.

Jefferies analysts highlighted that AI has been “the buzziest of buzzwords” in recent months. However, this may change as Apple prepares to unveil its highly-anticipated extended reality (XR) devices at the upcoming WWDC event.

“This will likely be remembered as one of the most important days in recent Apple history as the company takes on a once-promising technology. We expect the device will lean heavy into Apple's propensity for owned chip and sensor design and be a technology marvel vs. competitor predecessors, which in our view, despite the early high price, gives XR a chance to break out of niche status that has come to be over the past decade,” they said in a client note.

Apple is widely expected to present AR/VR headset, which prompted Jefferies analysts to raise the price target by $15 to $210 per share.

Morgan Stanley analysts also hiked Apple stock numbers as they await AR/VR updates from the tech giant. Morgan Stanley's new price target on Apple is $190 per share.

“We anticipate the combination of technological improvements, new use cases, and lower price points can drive the AR/VR headset TAM to $100B by2030, and over $500B by2037, implying AR/VR could become the next major ($20B+) standalone compute platform for Apple,” they wrote in a note.

Apple stock trades 0.7% higher in premarket Friday.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.