MacBook and iPhone Give Hope for Slumping Apple Stock

Apple stock has struggled this year, including a current streak of four consecutive weekly declines.

Strong iPhone loyalty and the release of a new MacBook are reasons for optimism. (Photo: Apple) 

However, recent analyst reports highlight strong iPhone loyalty and the release of a new MacBook as reasons for optimism, Kit Norton and Alex Kozul-Wright reported for Barron’s Daily.

“Apple’s innovation engine was in high gear this month, with a flurry of new products unveiled across the Mac, iPhone, iPad, and AirPods families,” Monness, Crespi, Hardt & Co. analyst Brian White wrote recently.

He maintained a Buy rating on Apple in a research note and set a $315 price target, representing a 25% upside from Wednesday’s closing price.

White also described the unveiling of Apple’s new MacBook Neo earlier this month as “the star” and a “potential catalyst” for expanding the company’s user base.

The iPhone remains a key factor behind Wall Street’s positive outlook. A UBS analyst team led by David Vogt found that more consumers intend to make their next smartphone purchase an iPhone.

Vogt noted that purchase intent in China rose by 400 basis points compared with last year.

UBS also views Apple’s services segment, including music and iCloud, as a strength that could help the company offset rising production costs ahead of a potential foldable iPhone expected later this year.