After revealing AI technologies intended to increase iPhone attractiveness, the tech giant’s shares increase by 7%.
Following the announcement of new artificial intelligence (AI) capabilities under “Apple Intelligence” targeted at improving the attractiveness of its gadgets, notably the iPhone, Apple shares shot up over 7% to a record high by Tuesday’s market closing.
Apple’s stock has underperformed the S&P 500 this year as a result of its premium consumer devices’ poor sales, but the rise offers some relief. Should the current $207 stock price hold, Apple’s market worth might increase by around $200 billion.
Apple is well behind Microsoft, the most valuable firm in the world, by tens of billions, with a market value of $3.18 trillion. With a market value of $2.97 trillion, Nvidia is the third largest company and the main beneficiary of the AI boom.
During its yearly developer conference on Monday, Apple unveiled an improved Siri virtual assistant that can handle more intricate tasks and respond to a wider variety of questions. A number of AI capabilities that the company has integrated into its apps were also revealed during the event. These features will be available in the newest Mac, iPad, and iPhone operating systems.
At least 13 analysts raised their price forecasts for Apple shares after the developer event, citing the possibility that the company’s upcoming release of a new iPhone lineup in the autumn might prompt a surge in demand for the stock due to its newest features.
“Apple is showing its commitment to evolving its platform and devices to usher in the next era of computing, interfaces, and experiences,” Tuong Nguyen, a Gartner analyst, said.
