The post JPMorgan is still bullish on Apple despite regulatory issues in the EU appeared on BitcoinEthereumNews.com.

JPMorgan analysts remain optimistic about Apple (AAPL) stock. Apple seems ready to capitalize on the opportunity provided by the introduction of iPhones with AI features. Hedge fund managers are taking an interest in the idea of a major upgrade to Apple’s flagship product, i.e., their iPhones. However, Apple has delayed the launch of AI-enabled iPhones in an important market. Last week, the company announced that it would postpone the introduction of AI features in the European Union (EU).  Also read: Apple delays launch of 3 key AI features in Europe due to EU rules Apple has taken the step due to regulations surrounding the tech industry. However, JP Morgan’s Samik Chatterjee, senior networking equipment and IT hardware analyst, has positive views on the tech giant’s performance. Apple has time to resolve regulatory issues Despite all the worries about EU regulations impacting Apple’s stock, Chatterjee has an overweight rating on the iPhone maker, even though the tech giant’s shares have fallen by double digits this year.  Apple is also facing weak sales in the Chinese mainland market and an antitrust lawsuit against its services arm by the US Justice Department. Regarding the EU regulatory impact, Chatterjee says it will not have a “significant impact” on the upgrade cycle. He said, “We expect Year 1 of an anticipated 2-year stair-step volume ramp to be relatively unaffected by the dynamics in the EU market,” He adds further that the company has sufficient time to resolve the issues in fiscal year 2025 before the forecasts are impacted. He derives this idea from the fact that the upgrade cycle will continue until fiscal year 2026. Another key factor that Chatterjee highlighted is that the European market, excluding the UK, only contributes 14% to total iPhone unit sales. He expects North America to be the key…

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Filed under: News - @ June 28, 2024 1:18 am