Ride out the market storm with Apple, Wedbush’s Dan Ives says

Investors should believe in Apple as a must-have tech stock despite its recent struggles, according to Wedbush. Apple is “a compelling name to own and ride out the market storm,” wrote analyst Dan Ives, who has an outperform rating on the tech giant. Apple has long been considered one of the safest names in tech, but it has struggled in recent weeks. Its shares are down nearly 13% in May alone, and some traders have warned that the stock has further to slide . Apple’s struggles comes as the S & P 500 teeters on a bear market, down about 19% from its record. “Installed base the key to Apple’s success to navigate this storm . With an unparalleled installed base of 1 billion iPhones worldwide and 1.8 billion iOS devices for Cupertino this continues to remain Apple’s unique advantage over other technology stalwarts,” Ives wrote. Wedbush maintained its price target at $200 per share, which is more than 45% above where the stock closed Thursday. Ives said that investors are too concerned about the impact of Covid lockdowns in China on Apple’s business, which should help the stock rebound. “As of now we believe iPhone demand is holding up better than expected (despite the various supply issues that have plagued Apple and the rest of the tech sector) and are trending better than management’s guidance thus far in the quarter,” Ives said.

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