Apple (AAPL) shares gain after Wedbush raises target to $400 on AI optimism
Apple Inc. (NASDAQ:AAPL) shares moved 0.80% higher after Wedbush increased its price target on the technology giant from $350 to a new Street-high target of $400, pointing to growing opportunities tied to artificial intelligence.
Wedbush sees Apple becoming major AI platform
The investment firm said Apple is positioned to play a central role in the expanding AI market, estimating that nearly 20% of the global population could eventually access artificial intelligence tools through Apple devices.
Wedbush analysts commented, “We believe over the next few years Apple will be able to monetize the AI Services and storage features translating into what could be an additional $15 billion of annual services revenue for Apple as it starts to become the ’consumer hub of AI’ technology for its global user base. In China despite Beltway scrutiny we believe Apple’s partnership with Alibaba on AI will become more important as Cupertino goes after its massive and growing installed base in China. These are all incremental steps leading to an AI enabled Apple iPhone likely with significant redesigns in 2027 on the 20th anniversary edition.”
China strategy and AI services in focus
Analysts highlighted Apple’s collaboration with Alibaba as an important element of the company’s artificial intelligence strategy in China, particularly as Apple looks to strengthen and expand its user base in the region.
Wedbush said its revised valuation reflects expectations that Apple could generate around $15 billion in additional annual services revenue through AI-powered features and expanded storage offerings.
Expectations build for future iPhone redesigns
The brokerage also pointed to the possibility of major iPhone design changes in 2027, when Apple is expected to mark the 20th anniversary of the iPhone.
According to Wedbush, these developments could represent an important step in Apple’s broader effort to position itself at the centre of consumer-focused AI technology.
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