Apple stock target raised at Needham on ads business strength, buyback plan
Needham&Company analysts increased their price target for Apple (NASDAQ:AAPL) to $260 from $220 in a note Wednesday, citing the company's hefty $110 billion share buyback plan and the potential of an advertising business. The firm maintained a Buy rating on the stock.
Needham acknowledges Apple's current focus on buybacks comes "at a time when other big tech companies are spending $50-$100B on GenAI infrastructure." However, they express concern about Apple's long-term revenue growth, stating, "AAPL's single-digit rev growth rate feels increasingly at risk to us" over a 3-year time frame.
Needham believes Apple should enter the advertising market, similar to Amazon (NASDAQ:AMZN). The investment firm argues, "Advertising is global and, at $966B total and $500B on mobile (eMarketer) in 2024, both are larger than AAPL's FY24E revs of
Related Articles
Apple stock target raised at Needham on ads business strength, buyback plan
Intuit shares slip as company reportedly plans to lay off 10% of global workforce