Despite reaching an all-time high this week, Apple still possesses significant growth potential driven by its artificial intelligence initiatives and upcoming product releases, according to HSBC. The investment bank has upgraded the tech giant from “hold” to “buy,” raising its price target to $366 from $260, implying a 10% upside from Thursday’s closing price.
“We believe that the launch of AI features and a strong product pipeline have the potential to drive a major upgrade cycle,” analyst Nicolas Cote-Colisson stated in a client note on Friday.
Apple’s shares have surged 23% year-to-date as the company moves to capitalize on the artificial intelligence boom. On Thursday, the stock reached a record high of $334.68. Shares have climbed 23% throughout 2026. The technology company is positioned to gain further ground by leveraging “Apple Intelligence”—its personalized AI suite for iPad, Mac, and iPhone users.
“Apple is now at an operational turning point,” Cote-Colisson noted. He highlighted that the company maintains efficient capital expenditure, investing only 2.5% of its estimated 2026 sales compared to 39% for hyperscalers. Furthermore, Apple is well-positioned to monetize its 2.5 billion installed device base through its revamped AI integration.
Cote-Colisson added that the rollout of an agentic Siri AI later this year could stimulate device demand, providing a significant boost to shares. “This AI boost comes at the right moment, when we think Apple has one of its most innovative product pipelines in place,” he remarked.
The analyst also noted that Apple is expected to announce several highly anticipated releases, including the iPhone 18 Pro and iPhone 18 Pro Max, alongside potential developments regarding a foldable iPhone Ultra. HSBC’s optimistic outlook aligns with broader Wall Street consensus; LSEG data indicates that of the 48 analysts covering Apple, 31 maintain a “buy” or “strong buy” rating.
