Apple shares soared to a record high on Tuesday, closing more than 7% up after the company unveiled new artificial intelligence features under the “Apple Intelligence” banner aimed at enhancing the appeal of its devices, including the iPhone. This surge provided a much-needed boost for Apple’s stock, which had been underperforming compared to the S&P 500 index amidst sluggish sales of its premium consumer devices.
If Apple maintains its current share price of $207, it will add a significant portion of $200 billion to its market value. With a market capitalization of $3.18 trillion, Apple solidifies its position as the world’s most valuable company, outpacing Microsoft by tens of billions of dollars.
Nvidia, the leading supporter of the AI boom and the third most valuable company by market cap, stands at $2.97 trillion. During the WWDC 2024 event, Apple introduced an enhanced Siri virtual assistant capable of handling a broader range of queries and performing more complex tasks than before.
Additionally, Apple showcased AI features and applications that will be included with the latest operating systems for iPhones, iPads, and Mac computers. At least 13 analysts raised their price targets for Apple shares following the developer event, noting that the new features could drive new purchases as the company prepares to announce a new iPhone lineup this fall.
Gartner analyst Tuong Nguyen stated, “Apple is showing that it is investing in developing its platform and devices to enable the next era of computing, interface, and experience.”