Could This Artificial Intelligence (AI) Stock Be a Hidden Gem for Patient Investors?

Could This Artificial Intelligence (AI) Stock Be a Hidden Gem for Patient Investors?

Could This Artificial Intelligence (AI) Stock Be a Hidden Gem for Patient Investors?

https://www.nasdaq.com/articles/could-artificial-intelligence-ai-stock-be-hidden-gem-patient-investors

Publish Date: 2026-01-21 11:50:00

Source Domain: www.nasdaq.com

Certainly! Here are the 4 to 8 key points from the article about Apple:

  • Apple’s Underperformance Relative to Tech Sector: Over the past three years, Apple has trailed the broader tech stocks’ impressive growth, rising by 89% compared to a 115% surge in the Nasdaq Composite.

  • Strong Performance in Smartphone Sales: Last year, Apple maintained robust growth in smartphone sales, outperforming the global market with a 10% increase in iPhone shipments and securing the top position as the world’s largest smartphone OEM with a 20% market share.

  • AI Potential as a Growth Driver: The integration of AI features across its latest iPhone models has likely contributed to Apple’s user shift towards these devices, and the company continues to enhance its AI capabilities.

  • Strategic Partnerships for AI Advancement: Apple is reportedly working with Alphabet to make its Siri smarter using the Gemini large language model, a move that could tap into Alphabet’s subscription-based revenue share and create new monetization channels for Apple.

  • Monetization Potential: A partnership with Alphabet could yield significant revenue through Apple’s vast user base, possibly leading to success in the growing intelligent virtual assistant market, which is expected to reach $179 billion by 2034.

  • Forecasted Strong Earnings Growth: Analysts predict that if Apple continues its growth trajectory and earnings increase by 15% in the next couple of years, the company’s stock could significantly rise.

  • Stock Performance Outlook: Despite underperformance, the prospect of AI integration and strong iPhone sales makes the long-term investment in Apple potentially lucrative, with estimates suggesting a stock price leap from current levels by the end of the decade.

These points highlight both the current challenges and future opportunities for Apple.