The “Hall of Fame” era of Tim Cook is drawing to a close. But Wedbush analyst Dan Ives says the most aggressive chapter in Apple Inc‘s (NASDAQ:AAPL) 's history is just beginning.
Sure, the departure of a CEO who delivered a 20x return is a “shock to the system.” Ives believes incoming leader John Ternus is the “New Sheriff” that Cupertino needs to dominate the Fourth Industrial Revolution.
An ‘Anti-M&A' Attitude Change
For years, Apple has been notoriously shy about large-scale acquisitions. Typically, the iPhone maker preferred to buy small startups, but Ives wants this status quo to change.
To catch up in the AI arms race against Alphabet Inc. (NASDAQ:GOOGL) (NASDAQ:GOOG), Meta Platforms, Inc. (NASDAQ:META), and OpenAI, Ives suggests Ternus must “flex the muscles” and go on a strategic offensive.
This could mean a massive shift in how Apple uses its massive cash pile. Ives sees the potential for moving from a defensive “treadmill” approach to a bold M&A strategy.
Monetizing The ‘AI Highway'
Ives' bullish $350 price target hinges on one central theme: Apple is a “toll collector on the consumer AI highway.”
With 2.2 billion iOS devices worldwide, Ternus doesn’t just need to build AI—he needs to monetize it.
The strategy begins at WWDC in June, where Ternus is expected to show how Apple will finally turn its massive installed base into a recurring AI revenue stream.
From Logistics To Innovation
While Tim Cook was the master of supply chains and logistics, Ternus is a hardware “thought leader” with Apple DNA in his blood.
By shifting the focus to “hearts and lungs” innovation—like foldable iPhones and sleeker Apple Glasses—Ives maintains an Outperform rating.
For investors, the “Ternus Time” represents a pivot from the era of efficiency to the era of the AI offensive.
Image: Courtesy Apple
Image: Courtesy of Apple
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