Oppenheimer analysts lifted their 12-18-month price objective on Apple (NASDAQ:AAPL) stock from $200 to $250, implying approximately 17% upside from the current levels.
The move aims to reflect the positive sentiment toward AAPL following the company’s introduction of Apple Intelligence, its much-awaited AI platform.
Oppenheimer said that Apple’s tagline for Apple Intelligence, “AI for the rest of us,” resembles the 1986 commercial for its first Macintosh computer with a similar slogan, "the computer for the rest of us.”
“We see many parallels between Apple Intelligence and an Apple product from 40 years ago,” Oppenheimer analysts wrote.
“Apple is setting a new standard for hardware and software experience for a technology implementation that can appear confusing, intimidating, and jarring for an average consumer,” they added.
Analysts believe that Apple's approach to integrating AI for consumers, combined with its unique ecosystem advantage, will lead to a faster-than-expected acceleration in revenue and earnings per share (EPS) growth.
Among of the key risks to their bullish thesis is a slower-than-anticipated launch of Apple Intelligence, Oppenheimer noted.