Gene Munster, a notable industry analyst, has forecasted that Apple Inc. (NASDAQ:AAPL) will surpass Nvidia Corporation (NASDAQ:NVDA) in performance due to its AI initiatives.
What Happened: Munster, a leading voice in tech analysis, shared his perspective on the future of Apple. and Nvidia. On Wednesday, Munster shared his belief on X, formerly Twitter, that Apple will outdo Nvidia in the next year. He emphasized the market's current underestimation of Apple's potential in artificial intelligence.
"Investors are largely in denial about what Apple's AI opportunity is going to be," Munster stated, highlighting the tech giant's push into the AI space.
During his comments on CNBC's Last Call, Munster acknowledged Nvidia's contribution to the field calling the company's CEO Jensen Huang the "Godfather of AI."
My take is $AAPL outperforms $NVDA over the next year.
— Gene Munster (@munster_gene) May 28, 2024
Why It Matters: Nvidia stock has shot up a whopping 203% over a 12-month period and is up almost 132% so far since January. In contrast, Apple shares have only gained 7.4% over a 12-month horizon and are down nearly 1.2% since 2024 began.
Munster's comments align with his previous analyses, where he identified Apple as one of the most underappreciated players in AI. He suggested that Apple, along with Mark Zuckerberg-led Meta, could reach "a whole different atmosphere" due to their AI developments.
Nvidia might become the most valuable company in the world, according to a prior report. Nvidia has been a frontrunner in AI and graphics processing, yet Munster's insights suggest that Apple's AI strategy may lead to a shift in market dynamics.
This story was generated using Benzinga Neuro and edited by Shivdeep Dhaliwal