Apple investors aren’t fully realizing the potential around the technology giant’s artificial intelligence work, according to Josh Brown , CEO of Ritholtz Wealth Management. The company has been testing its own AI chatbot called Veritas that can apparently give contextual answers based on users’ lives with employees, Brown said Monday on CNBC’s “Halftime Report.” That can help the stock go higher after Monday’s surge to records on the back of a report showing iPhone 17 sales are off to a good start. “The thing that none of us are saying out loud but is buzzing like wildfire among Silicon Valley people is that Apple has a secret project underway for employees only,” Brown said. AAPL 1D mountain Apple, 1-day Brown said Veritas is likely the actual outcome of Apple’s AI work rather than Apple Intelligence, which he said didn’t drive consumers to pick up new products. Veritas’ release to the public would be the “most important” move the company could make, he added. He said such excitement around a chatbot could help justify the stock’s high forward price-to-earnings ratio of 35. Apple shares rallied more than 4% to new all-time highs on Monday. The move put the stock up more than 33% over the past six months. “If and when Apple decides that they want to roll this thing out, that’s a whole different story for the stock,” Brown said. “That’s the thing that I think nobody has in their numbers or their expectations.” However, Wall Street expects a pullback ahead: While the average analyst polled by LSEG has a buy rating, their price target implies shares can slide more than 4%. DISCLOSURES: none. All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL’S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. INVESTING INVOLVES RISK. EXAMPLES OF ANALYSIS CONTAINED IN THIS ARTICLE ARE ONLY EXAMPLES. THE VIEWS AND OPINIONS EXPRESSED ARE THOSE OF THE CONTRIBUTORS AND DO NOT NECESSARILY REFLECT THE OFFICIAL POLICY OR POSITION OF RITHOLTZ WEALTH MANAGEMENT, LLC. JOSH BROWN IS THE CEO OF RITHOLTZ WEALTH MANAGEMENT AND MAY MAINTAIN A SECURITY POSITION IN THE SECURITIES DISCUSSED. ASSUMPTIONS MADE WITHIN THE ANALYSIS ARE NOT REFLECTIVE OF THE POSITION OF RITHOLTZ WEALTH MANAGEMENT, LLC” TO THE END OF OR OUR DISCLOSURE. Click here for the full disclaimer.
