Apple's AI Push: Goldman Sachs Maintains Buy Rating, Targets 253 Dollars

Goldman Sachs has maintained its "buy" rating for Apple Inc. (AAPL.US) with a target price of 253 dollars, highlighting the company's advancements in integrating artificial intelligence (AI). The investment bank emphasized that Apple's Worldwide Developers Conference (WWDC) scheduled for June 9-13, 2025, will unveil substantial updates to the iOS system and enhanced AI functionalities. The conference is anticipated to reveal Apple's plans to further integrate AI into its ecosystem, including making AI models available to developers to support app creation. This strategy builds on the tools introduced last year, such as Writing Tools, Image Playground, and Genmoji.

The potential collaboration between Apple and Alphabet, the parent company of Google, is also a key focus. Following remarks by Alphabet CEO Sundar Pichai about a possible partnership by mid-2025, there is anticipation that iPhones could be equipped with Gemini AI. Alphabet's strong financial performance, with a 13% revenue growth and a robust price-to-earnings ratio of 18.85, supports this strategic collaboration.

To fully convince investors that "Apple Intelligence" is a core growth engine, Apple needs to demonstrate further AI technological breakthroughs. These include plans for an enhanced version of Siri, screen awareness, and personalized context features, scheduled for release by the end of 2025 or early 2026. The conference will also introduce design updates aimed at unifying the visual interface of Apple devices, including rounded app icons and semi-transparent display effects. Other anticipated releases include public WiFi access synchronization, AI-driven battery optimization, and deep integration of Gemini.

Despite market concerns about the progress of Apple Intelligence, Goldman Sachs remains optimistic. The firm believes that the incremental improvements in user experience with iOS 19, the implementation of an enhanced AI version of Siri, and the opening of large language models to developers will continue to strengthen user loyalty and help Apple compete in the consumer AI market.

Alphabet recently showcased significant AI advancements at its annual conference, including the launch of Google's AI Mode for search, which is now available to users across the United States. This marks a major development in search functionality. Several institutions have maintained positive ratings for Alphabet, with target price ranges between 175 and 200 dollars, reflecting market confidence in its AI strategy.

Citigroup noted that Alphabet's Gemini application has 400 million monthly active users, with the AI Overview feature driving an increase in search queries. Wells Fargo highlighted the deep integration of AI with core search functions and the competitive advantage of personalized data. KeyBanc praised Alphabet's infrastructure and traffic distribution capabilities, suggesting that AI products will open new monetization paths. JPMorgan and KeyBanc both reiterated their "overweight" ratings, citing rapid product innovation and strategic positioning in the AI field as core growth drivers. These developments underscore Alphabet's commitment and capability to lead innovation in the AI technology revolution.