Apple Nears $4 Trillion Market Cap Fueled by AI Upgrades and iPhone Sales

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APPLE,MARKET CAP,AI

Apple's stock price surge is attributed to investor excitement surrounding its AI advancements and the anticipated boost in iPhone sales.

Apple is poised to become the first company to cross the $4 trillion threshold — powered by investors cheering progress the tech giant’s long-awaited AI enhancements to rejuvenate sluggish iPhone sales. The company has pulled ahead of Nvidia and Microsoft in the race to the monumental milestone, thanks to an about 16% jump in shares since early November that has added about $500 billion to its market capitalization.

Apple’s stock was trading at around $255 a share just after the opening bell on Monday, putting its market capitalization at $3.86 trillion. Shares have soared nearly 40% since Jan. 1.The latest rally in Apple shares reflects “investor enthusiasm for artificial intelligence and an expectation that it will result in a supercycle of iPhone upgrades,” said Tom Forte, an analyst at Maxim Group, who has a “hold” rating. Earlier this month, Apple launched iOS 18.2, a significant software update for its suite of iPhones that includes improvements and features that enhance its Apple Intelligence functions, including Visual Intelligence, which summarizes and translates text.The latest AI enhancements are available exclusively to iPhone 15 Pro and iPhone 16 users. The Cupertino, Calif.-based company is expected to generate considerably strong sales of its iPhone during the Christmas shopping season. “We believe Apple is set to have a strong holiday season ahead as iPhone 16 upgrades across its installed base are trending well into Christmas based on our recent Asia supply chain checks,” Daniel Ives, senior analyst at Wedbush, wrote in his recent report over the weekend

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