apple (AAPL) stock hit a record intraday high on Thursday after a nod of confidence in its continued rise from Wall Street.
Wedbush analyst Dan Ives raised his price target on Apple shares to a new high on the Street of $325, predicting a “golden period of growth” for the tech giant led by Tim Cook in 2025.
“We believe Apple is entering a multi-year AI-driven iPhone upgrade cycle that is still being underestimated by the Street,” Ives wrote, continuing, “Rome wasn't built in a day and we neither will Apple's AI strategy but the seeds of that strategy with Apple Intelligence are now forming and will transform the narrative of Apple's user growth over the coming years.”
Apple stock touched $260 early Thursday — an intraday high — before paring modest gains. The stock was still hitting its most recent record, as shares increased 0.3% on Thursday to $259. Shares are up more than 11% over the past month, and the iPhone maker is nearing a $4 trillion market cap.
Apple closes 2024 on a winning streak after a difficult start to the year. He was facing selling a struggling iPhoneincreasing competition in China, and clashes with antitrust regulators at home a abroad. Early data from the initial presentation of Apple's iPhone 16 program has done little to boost Wall Street confidencewith investment firm Jefferies issue a rare downgrade on the stock.
Other analysts, Ives included, remain bullish on the stock as more positive iPhone shipment data builds confidence in Apple's AI strategy for its consumer devices. Apples fourth quarter earnings report in early November the tech giant showed beating expectations on iPhone sales despite missing estimates across the board.
Shares began climbing in early November to new highs as Apple unveiled its new MacBook Pro lineup and, in mid-December, added ChatGPT and other Apple Intelligence AI features for the iPhone, iPad, and macOS. Apple has outperformed many of its so-called Magnificent Seven peers over the past month. While Apple shares have gained more than 11% during that period, Meta (META) rose 6.7%, Microsoft (MSFT) climbed 4.4%, and Nvidia (NVDA) popped 1%.
Still, macroeconomic uncertainty could create headwinds for Apple. Trump's tariffs on China could affect the prices of Apple products assembled in the country, with the worst-case scenario add $256 cost per iPhone. The US Federal Reserve projected that it would fall interest rates less than expected in 2025 also causing fears of continued higher rates and sticky inflation, reduce consumer confidence going into the new year.