STORY: Apple shares jumped to a record high in Monday trade.
They rose 2.5%, after Morgan Stanley called the iPhone-maker a “top pick”.
Analysts there cited the tech giant’s move to roll out AI features.
The firm last month unveiled what it called Apple Intelligence.
Industry watchers see it as a bid to catch up with rivals Google and Microsoft, which are seen as ahead in the race to use AI.
Morgan Stanley said the technology should be a big catalyst for sales, if it lures customers into getting new gadgets.
Analysts at the bank say only around 8% of current Apple devices are compatible, creating the possibility for a surge in upgrades by consumers.
Morgan Stanley raised its forecast for iPhone sales as a result.
Apple shares are now up around a fifth this year.
The gains have seen it vie with Microsoft and chipmaker Nvidia for the title of world’s most valuable firm.
All the buzz around AI has also lifted hopes that the overall smartphone market will revive this year, with Apple and rival Samsung seen as top winners from any upturn.
Source Agencies
