A sweeping transformation is underway within Apple’s executive ranks, drawing significant attention from Wall Street. This unprecedented series of high-level departures has prompted a reevaluation of the tech giant’s current trajectory, particularly concerning its artificial intelligence ambitions. Despite the internal upheaval, market analysts are viewing this aggressive restructuring as a necessary corrective measure, responding with surprising optimism.
The turbulence in the C-suite has not dampened expert sentiment. On December 5, Wedbush Securities raised its price target for Apple to $350. This move was mirrored by other firms, including CLSA and Loop Capital, which also lifted their expectations. This confidence is anchored in the company’s resilient core business performance…
A sweeping transformation is underway within Apple’s executive ranks, drawing significant attention from Wall Street. This unprecedented series of high-level departures has prompted a reevaluation of the tech giant’s current trajectory, particularly concerning its artificial intelligence ambitions. Despite the internal upheaval, market analysts are viewing this aggressive restructuring as a necessary corrective measure, responding with surprising optimism.
The turbulence in the C-suite has not dampened expert sentiment. On December 5, Wedbush Securities raised its price target for Apple to $350. This move was mirrored by other firms, including CLSA and Loop Capital, which also lifted their expectations. This confidence is anchored in the company’s resilient core business performance: * Record Revenue: For the 2025 fiscal year, revenue climbed 6% to $416 billion. * iPhone Momentum: The iPhone 17 is outperforming sales expectations. According to Counterpoint Research, this strength could position Apple ahead of Samsung in shipment volumes for the first time since 2011. * Stable Valuation: The stock is currently trading at €238.75, maintaining a position firmly above its 50-day moving average of €231.50 despite the recent news flow.
The next critical date for investors is January 28, 2026, when Apple will report earnings for the first quarter of its new fiscal year. Until then, the focus will be on whether the newly assembled leadership can stabilize the timeline for a crucial Siri upgrade, now slated for mid-2026.
AI Strategy: The Core Catalyst
The personnel changes appear directly linked to mounting pressure on Apple’s AI division. Market observers note the company is perceived to be lagging behind competitors like Google, Microsoft, and OpenAI. Tangible issues underscore this challenge: the update for the Siri voice assistant has been postponed to mid-2026, and reports indicate Apple is paying Google approximately $1 billion annually to license its Gemini AI models until its own solutions are market-ready.
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Dan Ives, an analyst at Wedbush Securities, characterized these drastic steps as atypical for Apple’s corporate culture but essential. He suggested the company needs to "rip off the band-aid," noting that its AI strategy has lacked visibility and that the coming phase will define CEO Tim Cook’s legacy.
High-Profile Departures and Strategic Hires
Apple confirmed one of the most extensive restructurings in its recent history last week. The announced departure of John Giannandrea, Senior Vice President and the executive responsible for the AI roadmap, carries significant weight; he is set to retire in 2026. Also exiting is Alan Dye, Vice President of Interface Design, who is leaving for rival Meta. The list extends to the retirement of General Counsel Kate Adams and environmental chief Lisa Jackson.
In response, Apple is moving swiftly to inject external expertise, recruiting directly from its competitors. Amar Subramanya, formerly Corporate Vice President for AI at Microsoft, will now lead Apple’s AI development efforts. Furthermore, Jennifer Newstead is joining as the new General Counsel, making the move from Meta to Cupertino.
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