Apple Stock Hits Record High Before Expected Mixed-Reality Headset Debut

Apple (AAPL) stock hit a record high Monday ahead of the company’s Worldwide Developers Conference, known as WWDC. The consumer electronics giant is expected to unveil its long-awaited mixed-reality headset at the conference.

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In addition to the computer goggles, Apple will update software developers on its latest operating systems for iPhone, iPad, Mac and Apple Watch. Plus, Apple could announce new Mac computer hardware at the event.

But the mixed-reality headset, possibly called Apple Reality Pro, is likely to the headline this year’s WWDC.

News leaks ahead of the show point to an ultra-premium gadget that combines virtual reality with augmented reality. Further, the device carries a rumored price tag of about $3,000. It will run a new operating system, which could be called xrOS or realityOS, according to media and analyst reports.

Apple Stock Rises Ahead Of WWDC

With the headset, wearers can play immersive games, experience sports and concerts in 360-degree surround video and audio, and do FaceTime calls, media reports indicate.

WWDC kicks off at 10 a.m. Pacific time at the company’s Cupertino, Calif., headquarters with a keynote presentation led by Apple Chief Executive Tim Cook.

Check back here for updates as the keynote progresses.

In morning trades on the stock market today, Apple stock surged to an all-time high of 183.99. Also, Apple shares hit their previous record high of 182.94 in January 2022.

AAPL Stock Gets Price-Target Hikes

Ahead of WWDC, Morgan Stanley analyst Erik Woodring maintained his overweight rating on Apple stock and upped his price target to 190 from 185.

“AR/VR has the potential to become Apple’s next $20 billion-plus compute platform,” Woodring said in a note to clients Friday.

Evercore ISI analyst Amit Daryanani kept his outperform rating on Apple stock and raised his price target to 210 from 190 on Sunday.

Daryanani expects a slow ramp for Apple’s mixed-reality headset, given its high price. In his note to clients, he forecast sales of more than 10 million units in the first five years.

Low Bar Set For Apple Headset

Rosenblatt Securities analyst Barton Crockett kept his buy rating on Apple stock with a price target of 198.

In a note Monday, he said “the bar is set low” for Apple’s mixed-reality headset.

“Nobody expects this to be a financially meaningful product near-term,” Crockett said. “But the hope is that it will look like an interesting effort that can gain momentum over time.”

Meanwhile, Wedbush Securities analyst Daniel Ives reiterated his outperform rating on Apple stock with a price target of 205.

“While other AR headsets have shown tepid success such as Meta‘s (META) Quest we believe Apple’s Reality Pro will come with many apps and use cases that will distinguish this new product within the Cupertino hardware arsenal,” Ives said in a note Sunday.

Further, Ives predicts initial shipments of roughly 150,000 units in year one for Reality Pro.

Follow Patrick Seitz on Twitter at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.

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