Morgan Stanley Lifts Apple Inc. (AAPL) Price Target on Earnings Growth Expectations

Apple Inc. (NASDAQ:AAPL) is one of the champion everlastingly stocks to bargain according to hedge funds. On December 17, Morgan Stanley reiterated its Overweight standing connected Apple Inc. (NASDAQ: AAPL) and accrued the terms people to $315 from $305.

The concern slope hiked the terms people to bespeak a 32X expected fiscal 2027 net per stock estimation of $9.83, up from the erstwhile forecast of $9.55. Nevertheless, Morgan Stanley expects the company’s gross margins to instrumentality a deed from higher input costs for memory. On the different hand, a 5% higher gross forecast is expected to offset immoderate important borderline decline.

Apple’s iPhone shipments are expected to summation somewhat owing to a 0.1-year elongation of the year-over-year replacement cycle. The iPhone shaper is already plotting a important enlargement of its iPhone lineup and plans to connection arsenic galore arsenic 7 models by the autumn of 2027. The enlargement volition travel astatine the backmost of important plan changes, including the instauration of a foldable iPhone scheduled for the autumn of 2026

On the services front, Apple has struck a woody with General Motors to integrate Apple Music into Chevrolet and Cadillac models.

“We are bringing the Apple Music app to GM vehicles successful a mode that takes afloat vantage of our industry-leading audio capabilities,” GM VP of planetary merchandise absorption Tim Twerdahl added of the Apple Music union. “It’s the latest illustration of however we’re expanding amusement choices built straight into our vehicles,” concluded Twerdahl, who antecedently served arsenic Apple’s location and audio VP.

Apple Inc. (NASDAQ:AAPL) designs, manufactures, and sells user electronics (iPhone, Mac, iPad, Apple Watch), bundle (iOS, macOS), and online services (App Store, Apple Music, iCloud, Apple Pay).

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