Apple stock rose Tuesday after the consumer electronics giant announced a date for its annual fall product launch event. Analysts expect Apple to introduce the iPhone 16 smartphone series at the event.
On the stock market today, Apple stock rose 0.4% to close at 228.03.
Earlier in the session Tuesday, Apple stock fell as much as 1% after the company also revealed that its well-regarded chief financial officer is leaving the post after more than 10 years.
But Apple stock sprang back on anticipation for the product launch event, which likely will see the company debut its artificial intelligence-enabled iPhone 16 handsets. The event is scheduled for 10 a.m. Pacific on Sept. 9 at the company's headquarters in Cupertino, Calif. Apple announced the event timing on Monday afternoon.
Meanwhile, late Monday, Apple disclosed that Chief Financial Officer Luca Maestri will step down from the post effective Jan. 1. He will continue to lead Apple's Corporate Services teams, including information systems and technology, information security, and real estate and development.
As part of the planned succession, Kevan Parekh, Apple's vice president of financial planning and analysis, will become chief financial officer and join the executive team.
Smooth CFO Transition Forecast
BofA Securities analyst Wamsi Mohan said he expects a smooth transition to the new CFO.
In a client note, Mohan said he also does not expect any meaningful change to Apple's capital allocation priorities in the near term. He rates Apple stock as buy with a price target of 256.
"Under CFO Maestri, Apple has set a target of getting to net cash neutral through buybacks and dividend increases, and we expect the company to remain focused on that goal even under Mr. Parekh," Mohan said.
At the same time, Apple is likely to continue to invest in strategic priorities, such as AI, in-house chip design and services.
Wedbush Securities analyst Daniel Ives said Maestri has been a "major strategic asset" for Apple for the past decade. Ives said he expects a seamless transition with Parekh.
Apple Stock To Outperform
Ives rates Apple stock as outperform with a price target of 285.
He is bullish on Apple for the iPhone 16 launch, which he believes will kick off a super cycle of handset upgrades.
In addition to new iPhones, Apple likely will introduce its latest wearable devices at the product launch event. Those could include next-generation Apple Watch smartwatches and AirPods wireless ear buds.
Apple stock is on the IBD Tech Leaders list.
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