Robert W. Baird analyst Colin Sebastian maintained a Buy rating on Apple on September 2 and set a price target of $230.00.
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Colin Sebastian’s rating is based on several factors that suggest a positive outlook for Apple’s stock. The recent ruling by Judge Amit Mehta allows Google to continue paying Apple for distribution on iPhones, albeit without exclusivity. This outcome is more favorable than anticipated, as it ensures Apple will still receive substantial payments from Google, which are a significant part of its services revenue.
Moreover, Apple’s current valuation, trading at a premium compared to the S&P 500, reflects strong execution and a growing contribution from its services segment. The company’s ability to maintain a robust ecosystem and generate strong free cash flow further supports the Buy rating. While there are risks such as supply chain issues and competitive threats, the overall outlook remains positive, justifying the target price of $230.
In another report released on September 3, Morgan Stanley also maintained a Buy rating on the stock with a $240.00 price target.
Based on the recent corporate insider activity of 37 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of AAPL in relation to earlier this year.