(Bloomberg) — Apple Inc. obtained its second Road-high worth goal as Morgan Stanley sees it benefiting from new product classes in digital actuality and autonomous automobiles.
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Analyst Katy Huberty, who charges Apple obese, raised her worth goal to $200 from $164, matching Wedbush as the very best amongst targets tracked by Bloomberg. The shares rose as a lot as 3.3% to $170.78 Tuesday, a contemporary file.
Whereas buyers have struggled to worth the iPhone maker’s new merchandise given the corporate’s secrecy, Huberty expects augmented and digital actuality, in addition to autonomous automobiles, to ultimately be priced in, and says Apple must also profit from a “flight to high quality” in know-how shares.
“Regardless of a constant and materials income contribution from new services over time, Apple shares don’t appear to bake within the influence from upcoming new product launches,” Huberty wrote in a observe. “We consider this may change as Apple approaches the launch of an AR/VR product over the subsequent yr.”
Apple’s shares have surged about 28% this yr and ended Monday’s session at a an all-time excessive. Buyers take into account the tech big a secure guess in an more and more unstable market, because the highest-valued names within the sector get hit by hawkish alerts from the Federal Reserve.
Huberty additionally elevated her estimates for Apple’s December quarter, citing bettering iPhone provide as manufacturing disruptions ease.
(Updates share worth strikes all through.)
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