3 Reasons Apple Stock is a Great Buy at New Highs

Apple (NASDAQ:AAPL) stock has been a surprisingly good performer in the last few months, thanks in part to some decent quarterly earnings results and optimism about iPhone 17 going into the holidays and beyond. Although Apple might be one of the trickier Magnificent Seven names to own, given that it arguably doesn’t have as ambitious an AI strategy (some would argue the Cupertino giant doesn’t even have one!), I do think that there are major reasons to stick with the name that Mad Money host Jim Cramer correctly recommended to “own” rather than “trade.”

Even in times when you think there’s no possible way for Apple stock to move higher, it manages to surprise. And with the juggernaut fresh off some exceptional earnings, which weren’t rewarded by investors after a turbulent week for tech stocks, I think there’s an opportunity to get in before Apple’s AI strategy does start to become a bull point for investors looking to put new money to work.

And as investors exercise more caution on the AI names they choose to buy, I do think Apple shares might attract an AI multiple and perhaps a bit more as it looks to monetize AI better than some of its rivals. It all comes down to adding value for the consumer.

In any case, here are three reasons Apple stock looks like a steal, even as it hovers close to all-time highs:

iPhone 17 demand is still hot despite the lack of AI (so far)

Going into 2026, I have a feeling that many skeptics will be changing their tune as Apple turns AI into a massive driver of device upgrades. Even without a smart and capable Siri in 2025, consumers have been opening up their wallets for the iPhone 17 for the new design (vapor chamber), better camera, advanced specs, and, of course, that flashy orange color.

If you think early sales for the device are good, just think about the potential if a Google Gemini-powered Siri arrives in a few months down the road. The holidays could be a big seller for iPhone, but, beyond that, I think spring and summer could be incredibly hot as AI becomes a bigger focal point for those on the fence about upgrading to the iPhone 17.

More new devices are on the way. That could spark an upside surprise for the holiday quarter

Also, many device categories are slated for significant upgrades next year, from Mac to iPad, and, of course, the iPhone 18, which might even be a hotter seller than the 17. Combined with a Siri that customers have dreamed of, and I think 2026 could be a Goldilocks year for Apple that helps it emerge as one of the better performers in the Mag Seven. And that’s with or without a correction in AI stocks, which some fear could be looming right around the corner.

With around 15 or so new devices releasing through this fall season, I still think expectations for the holiday quarter are way too low, even with Apple’s recent upbeat forecast after its latest earnings beat. It’s an exciting season to be an Apple fan and an even more exciting one for shareholders.

Siri is about to get profoundly smart come spring

It’s about time Siri got a big upgrade. And in terms of upgrades, it really doesn’t get bigger than a boost from Alphabet (NASDAQ:GOOG) and its Google Gemini, which will fuel Siri with a powerful mode that’s reported to have 1.2 trillion parameters. It’s not just the Gemini model, but the added value that Apple will provide on top of Siri.

I like to think of it as getting a powerful V8 engine (that’s Gemini) on top of all of the other top-of-the-line parts that go into making a fantastic ride (think Apple’s privacy-centric Private Cloud Compute, its own powerful on-device AI, and the user interface facing users come that next big iOS upgrade). All together, it’s a package that’s hard to beat, even for Android devices that already run some version of Gemini.

Additionally, Apple users are getting exceptional value, given that the Gemini-powered Siri is likely to be just as powerful, if not more capable, as any paid AI service on the market. For users, that’s exceptional value that I think only Apple can provide. For Apple, it’s also getting a fantastic deal, paying Google just $1 billion per year to access a model that serves a userbase that’s close to 1.4 billion users (and over 2.3 billion devices) strong.

Just a bit of napkin math here: if we assume the big Siri upgrade is accessible to a broad base of users (those compatible with iOS 26), Apple might be paying close to $0.70 per user to bring that powerful Gemini model aboard. Either way you look at it, Gemini in Siri is a win-win-win kind of proposition for Apple, its users, and, of course, Google. Just how much Siri is a factor in driving device demand in 2026 remains to be seen.