Apple iPhone's Sales Stabilize, Outlook for Growth and Focus on AI

TapTechNews July 8th news, according to the latest supply chain survey of investment company Wedbush Securities, the sales signs of Apple iPhone in multiple global markets tend to stabilize. In pre-market trading on Monday, Apple's stock price rose slightly.

Analyst Dan Ives wrote in the investment report: We believe that after a better-than-expected performance in the first quarter, optimistic signs of iPhone growth are forming in various markets. Ultimately, we think the second quarter will be the last quarter of negative growth in the Chinese market, and the growth turning point will start from the third quarter. The Chinese market is still the key to Apple's growth. We believe that starting from iPhone 16, this key area will achieve growth again.

TapTechNews noticed that Ives maintained an outperform rating on Apple and the target stock price is $275. He said that since Apple held its annual developer conference last month and demonstrated its artificial intelligence technology, the market's optimism towards this technology giant has increased. Ives added that the next-generation iPhone may focus on artificial intelligence, which may trigger a golden upgrade cycle globally and bring cumulative replacement demand.

Ivers believes: Looking forward, developers and other technology giants may need to integrate their AI models/technologies into Apple Intelligence, because Apple and its huge iOS ecosystem is the only way to reach 2.2 billion iOS devices and 1.5 billion iPhones globally. We expect that within the next 6 to 12 months, developers will build hundreds of generative AI-driven applications, which will become a key factor in Apple's success recipe, because its technology stack will become the core pillar of the consumer artificial intelligence wave, and this wave will begin to emerge with the release of iPhone 16 in mid-September.