(Bloomberg) — Apple Inc. received its second Street-high value 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 chubby, raised her value 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 report.
While 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 finally be priced in, and says Apple must also profit from a “flight to quality” in know-how shares.
“Despite a consistent and material revenue contribution from new products and services over time, Apple shares don’t seem to bake in the impact from upcoming new product launches,” Huberty wrote in a observe. “We believe this will change as Apple approaches the launch of an AR/VR product over the next year.”
Apple’s shares have surged about 28% this yr and ended Monday’s session at a an all-time excessive. Investors take into account the tech large a secure guess in an more and more risky 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 enhancing iPhone provide as manufacturing disruptions ease.
(Updates share value strikes all through.)
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