Shares of Apple (AAPL) rose as much as 6% on Tuesday to hit an intraday record as investors digested the announcement of its AI platform, Apple Intelligence. This was the first time Apple reached an all-time high in 2024.
After falling Monday during and after the company’s WWDC conference, the stock moved higher as some Wall Street analysts cheered the company’s announcements.
“When you look at the signal away from the noise, you realize that this is an unprecedented capability that Apple is going to introduce and that it is going to integrate AI into everyday life,” DA Davidson director Gil Luria told Yahoo Finance.
After Monday’s event, Luria upgraded Apple to Buy from Neutral and raised his price target from $200 to $230.
On Monday, Apple announced “Apple Intelligence,” its long-awaited foray into the generative AI space. The company said the platform would be integrated into the company’s hardware and software products ranging from the iPhone and Mac to email, messaging and photos. Apple Intelligence will be available later this fall for the iPhone 15 Pro and iPads and Macs with Apple’s M1 series chips and newer.
Key features of the launch include updates to Siri, which now lets you do things like parse phones by addresses sent in messages or find photos in a phone’s photo library based on voice prompts. Apple also launched new software updates for its iPhone, watches and computer products.
“Our experience with consumer surveys from previous generations of iPhone launches tells us that the hardware upgrade cycle is driven more by a collection of feature upgrades across applications, which in total will provide reasons to upgrade in the coming years,” he says. JPMorgan senior analyst Samik Chatterjee wrote this in a letter to clients on Monday.
He added: “The release of the AI features on Mac, iPads and iPhones will support an upgrade cycle on all devices.”
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