Apple’s Stock Target: Bullish Analysis on Growth Prospects
Wedbush analyst Daniel Ives has become even more bullish on Apple Inc., raising his price target on the company’s shares to $220 from $205. This new target is now the highest among those tracked by FactSet, reflecting Ives’ growing optimism about Apple’s prospects. The stock is currently trading slightly above $179.
Ives’ optimism stems from his positive outlook on Apple’s upcoming iPhone 15 cycle. Based on recent Asia supply chain checks, he believes this product cycle could surpass current market expectations in terms of unit sales and average selling prices. According to Ives, Apple’s strategic positioning and solid customer base are poised for a major upgrade cycle.
iPhone 15 and Vision Pro Drive Optimism for Apple
Wedbush’s raised target price of $220 is driven not only by the iPhone 15 but also by expectations surrounding the Vision Pro headset. Besides, Apple’s services and its long-term planning keep the potential purchasers’ attention. The analysts view Apple’s approach as playing chess. In contrast, others in the industry play checkers, capitalizing on the potential of its ecosystem.
With the recent debut of Apple’s mixed-reality headset, the focus of investors is now shifting toward the introduction of the iPhone 15. Apple showcased the capabilities of the new smartphone with a demonstration of the next iPhone operating system, iOS 17, during its Worldwide Developers Conference. The unveiling of the Vision Pro computer goggles, however, overshadowed the iOS 17 news.
Long-Term Vision: Apple Aims for $4 Trillion Valuation by 2025
Wedbush Securities’ Daniel Ives, who rates Apple stock as outperforming, has raised his price target to $220 due to the bright sales prospects of the iPhone 15. He anticipates strong demand, particularly among buyers opting for higher-end models, and expects the average selling prices to increase. The estimated 250 million models that iPhone has not upgraded in over four years position Apple for a significant upgrade cycle.
Wedbush also highlights Apple’s robust services revenue, which is on track to approach $100 billion in fiscal year 2024, a significant jump from approximately $50 billion in fiscal year 2020. The research firm sees this trajectory as impressive, emphasizing Apple’s strong position in the services market.
Upgrade Cycle Potential: Apple Eyes Major Sales Boost with iPhone 15
Looking ahead, Wedbush estimates that Apple could reach a valuation of $4 trillion by the end of 2025. This projection takes into account the anticipated success of the upcoming iPhone cycle, coupled with the Vision Pro developments. With its strategic vision and ongoing product innovations, Apple continues to demonstrate its ability to stay ahead in the industry. At that pace, Apple is earning confidence in its long-term growth potential.
While Wall Street analysts hold varying expectations, Wedbush’s bullish outlook reflects a positive sentiment surrounding Apple’s future performance. At the moment, investors eagerly await the iPhone 15 launch and further developments in Apple’s ecosystem. Therefore, the company’s stock value remains a topic of keen interest and speculation in the financial markets.