Apple's Stock Dip Presents Buying Opportunity Ahead of Major AI Product Launches

Apple's stock price has declined 10% this year despite the company's strong performance in 2022, presenting a potential buying opportunity.

Adoption of AI technology in PCs and smartphones over the next few years could drive faster growth for Apple. The company plans to release new MacBooks with AI-capable M4 chips starting late 2024.

Integrating AI capabilities into new iPhones, expected later this year, could stimulate a major upgrade cycle like that seen with the iPhone 5G launch.

At 26X trailing earnings, Apple trades at a discount to the Nasdaq index, even as analysts forecast double-digit upside over the next 12 months.

With 1 billion AI smartphones expected to ship between 2024-2027, Apple is well positioned to capitalize on demand thanks to its massive existing iPhone installed base nearing upgrade windows.