International Data Corporation (IDC) rekindled optimism in smartphone makers like Apple Inc (NASDAQ:AAPL) with its latest market update. It expects global smartphone shipments to climb by 5.8% to 1.23 billion units in 2024, recuperating from two challenging years.
The research firm flagged the popularity of budget Android smartphones in China and emerging markets and the luxury markets' acceptance of generative artificial intelligence smartphones as potential catalysts.
IDC expects Android to grow nine times faster at 7.1% than Apple iOS due to higher competition in China.
However, IDC highlighted GenAI's success with the upcoming iPhone 16 and Apple's capability to forge local AI partnerships in China as potential growth drivers for Apple.
IDC expects the iOS trajectory to improve in 2025 with 4% year-over-year growth courtesy of Apple Intelligence.
IDC expects GenAI smartphones to win an 18% market share by 2024, driven by the premiumization trend.
In 2023, Apple ramped up its China-based suppliers and manufacturing sites and launched a new Apple store in Shanghai, reflecting its keenness in the market.
CEO Tim Cook attended the China Development Forum in Beijing. Apple also discussed integrating Baidu Inc's (NASDAQ:BIDU) advanced generative AI technology into its devices within China.
Apple stock gained 27% in the last 12 months. Investors can gain exposure to Apple through Vanguard Div Appreciation ETF (NYSE:VIG) and iShares Core S&P Total U.S. Stock Market ETF (NYSE:ITOT).
Will Apple Stock Go Up?
When trying to assess whether or not Apple will trade higher from current levels, it's a good idea to take a look at analyst forecasts.
Wall Street analysts have an average 12-month price target of $240.54 on Apple. The Street high target is currently at $300.0 and the Street low target is $164.0. Of all the analysts covering Apple, 38 have positive ratings, 7 have neutral ratings and 3 have negative ratings.
In the last month, 16 analysts have adjusted price targets. Here's a look at recent price target changes [Analyst Ratings]. Benzinga also tracks Wall Street's most accurate analysts. Check out how analysts covering Apple have performed in recent history.
Stocks don't move in a straight line. The average stock market return is approximately 10% per year. Apple is 22.83% up year-to-date. The average analyst price target suggests the stock could have further upside ahead.
For a broad overview of everything you need to know about Apple, visit here. If you want to go above and beyond, there's no better tool to help you do just that than Benzinga Pro. Start your free trial today.
Price Action: AAPL shares traded higher by 0.13% at $228.32 premarket at the last check on Wednesday.
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