Apple Hailed As 'Table-Pounder' Tech Stock To Own By Top Analyst Who Calls Vision Pro 'Potential Game Changer'

Hot on the heels of Apple Inc.’s AAPL Vision Pro hitting the shelves, a Wedbush analyst reiterated a bullish outlook on the stock.

Clear Success: Analyst Daniel Ives noted a surge in customer interest, stating, “Customers are coming into Apple Stores with a curiosity and intrigue for demos and purchases we have not seen in many years.” 

“Customers we have spoken to over the weekend are seeing firsthand spatial computing and the appeal this unique Apple Vision Pro device brings to the table and ecosystem for 2.2 billion active iOS devices globally,” the analyst said.

The Vision Pro is a “potential game changer” over the years, said Ives, adding “Cupertino has found clear success with this next generation form factor surpassing by a wide margin original Street expectations.”

While conceding that the price point of $3,500 is high, the analyst said he was surprised at the early mass-market appeal the latest hardware product from Apple is sparking. He also underlined the “jaw dropper” 600 apps built for the product.

Very strong reception over the weekend gives Wedbush confidence in its 2024 unit target of 600,000 for Vision Pro, the analyst said.

Future Outlook: Ives sees the Vision Pro as Apple’s initial foray into AI, anticipating a separate AI App Store announcement at WWDC this summer. He envisions the next version, Vision Pro 2, having sub-$2,000 pricing and evolving into form factors resembling sunglasses in the coming years. Ives projects over one million Vision Pro units as the initial sales target for FY25.

See Also: Everything You Need To Know About Apple Stock

AI Integration: “This is just the start for Vision Pro,” said Ives, as he noted that his industry checks revealed the next version of Vision Pro 2 will have sub-$2,000 pricing.

“We also believe future Vision Pro models will resemble form factors that look like sunglasses over the coming years and be a much broader reach/functionality for Apple users down the road with north of one million Vision Pro units our initial sales bogey for FY25,” Ives said.

The analyst sees Vision Pro as Apple’s first step toward AI, with a separate AI App Store announcement likely coming at the WWDC this summer. Apple could incorporate AI into its iPhone 16, marking the start of a “new frontier of growth for the golden installed base of Cupertino,” he said.

“While many on the Street are dismissing Vision Pro as noise, we strongly disagree and believe it’s the first step towards a much broader technology vision that Cook & Co. plan to push to its installed base over the coming years,” Ives said.

Outlook and Rating: “While last week Apple gave conservative March guidance with China headwinds a worry for the Street, we continue to view this as a small blip on the renaissance of growth ahead for Apple over the next 12 to 18 months and this remains a table pounder tech stock to own in our view,” Ives wrote.

He maintains an Outperform rating and a $250 price target for Apple stock.

Market Performance: Apple closed Friday’s session down 0.54% at $185.85, according to data from Benzinga Pro.

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