Rosenblatt upgrades Apple to Buy, lifts price target to $260

Rosenblatt has upgraded Apple (AAPL) to Buy from Neutral and increased its price target to $260 per share, citing the company's privacy-focused AI initiatives.

Yahoo Finance's Seana Smith and Madison Mills discuss the bullish call and Apple's entry into the AI race.

For more expert insight and the latest market action, click here to watch this full episode of Catalysts.

This post was written by Melanie Riehl

Video Transcript

Apple.

It's getting an upgrade this morning.

Rosenblatt analyst Barton Crockett is saying that now is the time to buy the stock, specifically citing the company's privacy focused A. I work now Crockett increasing his price target by 64 bucks to 260 bucks a share.

Upgrading the stock to a buy from neutral when it comes to some of those reasons, and the strong privacy is by far the top feature, consumers want an A I said that as a result of a survey of US consumers done by Rosenblatt so again, seeing more room for the stock to run with that strong price target here on the stock, implying just over a 20% gain from right around where it's trading today.

Yes, it's interesting.

And this is something that we spoke about when there was that initial news of Apple and open A I going into a partnership, potentially moving forward, and this idea that consumers were going to have to opt into every individual a I interaction on their smartphones.

That is really similar to kind of the ethos that we've seen at Apple with regards to privacy throughout its tenure here as the main iPhone maker when it comes to consumer sales in the US.

At least I also think it's interesting in this note.

They talk about Apple's chips specifically saying Apple, apple silicon appears to immunise apple from cost pressure at hyper scaler, talking about the other hyper scaler that maybe haven't been able to get ahead of the R and D required for making their own silicon for their own chips.

Apple has been a leader in the space when it comes to their chip making, and that is potentially creating a little bit of a moat to protect them from that pricing power that we just talked about from a company like a micro, which can kind of raise prices at the expense of these hyper scalar moving forward.