Here are the biggest analyst moves in the area of artificial intelligence (AI) for this week.

Apple: A Long-Term Bet Despite Short-Term Declines

Mizuho analysts are labelling Apple (AAPL) stock as an “out of favour long idea,” citing that the market has already priced in concerns over declining iPhone sales. They expect a rebound by 2025, particularly with the launch of the AI-integrated iPhone 17, forecasting a 6% decline in iPhone production in 2024 but a recovery in 2025. The analysts also predict that Apple will introduce its first foldable iPhone in 2027 and phase out Qualcomm modems with the iPhone 18.

Tesla Faces Growth Concerns Despite Higher Price Target

Tesla (TSLA), according to JPMorgan, could face its first-ever full-year decline in unit volumes. The investment bank maintained its Underweight rating but raised its price target to $130, noting that Tesla’s growth stock status is under scrutiny. Tesla’s third-quarter deliveries of 464,000 units missed expectations, leading to questions about its hypergrowth valuation. JPMorgan highlighted that Tesla’s EBIT forecast for 2024 is now $7.3 billion, down significantly from $28 billion projected two years ago.

AMD’s AI Event Could Boost Stock Performance

Bank of America reaffirmed its Buy rating on AMD (AMD) ahead of the company’s upcoming “Advancing AI” event on October 10. The event is expected to showcase roadmap updates in AI and server CPUs. Analysts believe that AMD has the potential to expand its market share, forecasting AI sales of $5.1 billion in 2024, with the possibility of doubling to $10 billion in 2025. If AMD captures more than 10% of the AI market share by 2026, this could lead to a significant upside in its stock price.

Salesforce Positioned to Capitalize on AI

Northland Capital Markets upgraded Salesforce (CRM) to Outperform after the launch of Agentforce, a platform powered by Agentic AI. The platform, which eliminates coding for AI agents, has the potential to expand Salesforce’s total addressable market (TAM) from $0.8 trillion to $3.2 trillion. Northland raised its 12-month price target for Salesforce to $400, citing the platform’s ability to drive significant growth in the company’s software TAM.

Investors are eyeing Apple’s rebound, Tesla’s growth challenges, and AMD’s potential in AI as key factors for long-term strategies. Meanwhile, Salesforce is well-positioned to capitalize on AI-driven software market expansion with its latest innovations.