‘Buy Apple Stock,’ Says Wedbush despite Trump Tariff Threats

If the U.S. is nearing a major trade agreement with India, as recent reports suggest, then it could be a big win for tech giant Apple (AAPL) and its supply chain, according to Wedbush Securities. In a note to clients, Wedbush analysts, led by four-star rated Dan Ives, said that India’s growing tech talent and manufacturing capabilities are creating a serious threat to China’s dominance over global supply chains. Indeed, they believe that if a U.S.-India trade deal is finalized soon, Apple and its iPhone production operations would be among the biggest beneficiaries.

As a result, Wedbush reiterated its Outperform rating on Apple stock and maintained its $270 price target. However, it is worth noting that Apple has recently come under pressure from President Trump, who criticized the company for increasing iPhone production in India. In fact, on Truth Social, Trump said that Apple should manufacture iPhones sold in the U.S. domestically, and warned that otherwise the company would face a 25% tariff.

Trump later added that the same tariffs could apply to Samsung (SSNLF) and other phone makers by the end of June. Interestingly, his warning came shortly after Apple CEO Tim Cook tried to reassure investors during the company’s latest earnings call by saying that most iPhones sold in the U.S. would soon be made in India. Cook also said that Vietnam will take the lead in making iPads, Macs, Apple Watches, and AirPods as part of Apple’s strategy to spread production across different countries.

Is Apple a Buy or Sell Right Now?

Turning to Wall Street, analysts have a Moderate Buy consensus rating on AAPL stock based on 17 Buys, eight Holds, and four Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average AAPL price target of $228.22 per share implies 14.8% upside potential.

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