Apple Shares Surge to Record High as AI Features Promise Boost in iPhone Sales
Apple's shares surged over 7% to a record high, nearly reclaiming its position as the world's most valuable company. The company unveiled new AI features, including an enhanced Siri, during its annual developer event. Analysts believe that these features could drive a surge in new iPhone purchases.
Apple shares soared by over 7% on Tuesday, reaching a new all-time high. The tech giant is inching closer to reclaiming its title as the world's most valuable company from Microsoft, thanks to the unveiling of new artificial intelligence (AI) features aimed at reigniting demand for iPhones.
This surge comes as Apple has been trailing behind the S&P 500 this year due to declining iPhone sales. Wall Street has expressed concerns that the company is lagging behind other tech heavyweights in the race to dominate emerging AI technology.
Closing the day at US$207.15, Apple's stock climbed 7.3%, boosting its market capitalisation to US$3.18 trillion. While Microsoft currently holds the top spot at US$3.22 trillion, Apple is closely followed by AI chip powerhouse Nvidia at US$2.97 trillion. The three companies are engaged in a fierce competition to become the world's most valuable company.
Microsoft overtook Apple in terms of market value in January, and Nvidia briefly surpassed Apple's value last week. However, Apple's recent surge indicates a strong comeback.
During its annual developer event on Monday, Apple introduced an enhanced Siri virtual assistant capable of answering a wider range of queries and performing more complex tasks compared to previous versions. Additionally, the company unveiled several AI features across its apps, which will be included in the latest operating systems for iPhones, iPads, and Mac computers.
Following the developer event, at least 13 analysts raised their price targets for Apple's shares. Many believe that these new features could stimulate a wave of new purchases as the company gears up to announce a new line of iPhones in the autumn.
Gartner analyst Tuong Nguyen commented on Apple's commitment to evolving its platform and devices, stating, "Apple is demonstrating that it is invested in evolving its platform and devices to enable the next era of computing, interfaces, and experiences."
Apple's shares surged over 7% to a record high, nearly reclaiming its position as the world's most valuable company.
The company unveiled new AI features, including an enhanced Siri, during its annual developer event.
Analysts believe that these features could drive a surge in new iPhone purchases.
Source: REUTERS