10 AI Stocks Making Waves on Wall Street

2. Apple Inc. (NASDAQ:AAPL)

Number of Hedge Fund Holders: 158

Apple Inc. (NASDAQ:AAPL) is a technology company that has strengthened its mark in the AI realm by launching Apple Intelligence, its personal intelligence system. On January 24, BofA analyst Wamsi Mohan lowered the firm’s price target on Apple (AAPL) to $253 from $256 and kept a “Buy” rating on the shares. The rating has been issued ahead of the company reporting fiscal Q1 results. The company will report its results after market close on Thursday, January 30. Even though the firm expects a “strong report” from Apple due to the iPhone 16’s initial demand, it has also lowered its fiscal Q2 iPhone units estimate to 49M from 56M. The analyst cited two reasons for the lowered outlook: a weak macro environment and the prolonged rollout of generative artificial intelligence features. The firm further said investors already know about the weak iPhone sales, reiterating a Buy rating based on Apple’s strong profit margins, future improvements, and robust cash flow.

“Partly due to the weak macro and partly due to the staggered launch of Apple Intelligence features, which we see as yet to gain widespread adoption, we lower our F2Q (March quarter) iPhone units estimate to 49 million (from 56 million),” Mohan wrote.