12 Best NASDAQ Stocks To Buy in 2025

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6. Apple Inc. (NASDAQ:AAPL)

Number of Hedge Fund Holders: 158

Apple Inc. (NASDAQ:AAPL) is a global technology company that is known for its innovative consumer electronics, such as iPhones, iPads, and Macs. With a loyal customer base and a rapidly growing portfolio of subscription services like Apple Music and Apple TV+, the company continues to shape the technology landscape.

The company faced a 7.7% year-over-year sales decline in FY24 in China, which is one of its major markets. This resulted in the total revenues dropping from $72.5 billion in FY23 to $66.9 billion in FY24. This is attributed to the competition from domestic brands like Huawei and a sluggish economy. To deal with this decline, the company is reducing its reliance on hardware sales. This includes a focus on Services revenue, largely driven by the App Store.

The Services revenue reached a record $25 billion in FQ4 2024, marking a 12% year-over-year increase. However, Wedbush analysts, including Dan Ives, predict that the AI-powered iPhone 16 sales could hit 240 million units in 2025. Analysts believe that the company’s focus on AI could increase its value, potentially reaching $4 trillion by early 2025. At the same time, MoffettNathanson, an investment firm, downgraded Apple Inc. (NASDAQ:AAPL) to Sell on January 7, lowering the price target to $188 from $202. The main reason behind this was the decline in iPhone 16 sales and the China competition. MoffettNathanson believes that the company’s 30% 2024 rally is unjustified.

Mar Vista Strategic Growth Strategy viewed Apple Inc. (NASDAQ:AAPL) stock positively due to investor enthusiasm for its AI roadmap and iPhone 16 launch. Here’s what it is said regarding the company in its Q3 2024 investor letter:

“Apple Inc. (NASDAQ:AAPL) stock was strong in the quarter as investors viewed the company’s generative AI roadmap and iPhone 16 product cycle positively. The market was reminded of the strength of the Apple ecosystem as management demonstrated how generative AI solutions would be integrated into its iOS 18 operating system, which was broadly released in the iPhone 16 late in calendar Q3. We believe Apple’s generative AI-enabled products should spur a meaningful iPhone upgrade cycle and create new avenues of monetization through its app store and advertising offerings. We believe this will support intrinsic value growth that will range between high single digits and low double-digits over our investment horizon.”

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