Apple Inc. (NASDAQ:AAPL) could finally be able to move past the limbo it has been in terms of AI growth, according to Gene Munster.
Munster Says The AI Bar For Apple Is Low
The comments from Munster, who is currently the managing partner at Deepwater Asset Management, came after a Bloomberg report that said Apple is working on rolling out its own AI-powered search tool in 2026.
Cupertino’s new system is dubbed World Knowledge Answers and it will be integrated into Siri.
As per the report, the iPhone-maker is working with Alphabet Inc.'s (NASDAQ:GOOG) (NASDAQ:GOOGL) Gemini model to power parts of Siri.
"The $AAPL AI bar is low for the next six months. Then it gets really high," Munster said on X, formerly Twitter, "I still believe $AAPL will be a top performing Mag 7 stock through the end of the year."
In June, Munster made a similar point when Apple's stock jumped 2% after mere speculation about potential Siri upgrades. At the time, he said that this reaction shows just how low the investor AI bar is for AAPL.
Apple Trails Mag 7 Peers In 2025
Despite the AI push, Apple remains one of the weakest performers among the "Magnificent Seven" stocks this year, according to Benzinga Pro.
| Stock | Year-To-Date Performance |
|---|---|
| Apple Inc. (AAPL) | -1.67% |
| Microsoft Corp. (MSFT) | +21.36% |
| Amazon.com Inc. (AMZN) | +7.02% |
| Alphabet Inc. Class C Stock (GOOG) | +22.05% |
| Alphabet Inc. Class A Stock (GOOGL) | +22.63% |
| Meta Platforms Inc. (META) | +24.93% |
| NVIDIA Corp. (NVDA) | +24.11% |
| Tesla Inc. (TSLA) | -10.74% |
According to Munster, the latest reported developments at Apple could have two crucial effects on its business.
First, it might reduce how much Google pays Apple to remain a default search engine in Safari
Second, Apple may open new revenue streams by "being the front end of a Siri search product (sharing it with Google)."
In conclusion, he stated that the move could increase Apple's current $20 billion in annual search-related revenue, which is almost all thanks to Google.
What's Next For Apple
Apple is currently working on debuting the iPhone 17 lineup next week, but its biggest AI moment may come next spring with Siri's long-awaited upgrade.
Benzinga’s Edge Stock Rankings show that AAPL continues to display strong trajectory across short, medium and long-term horizons. More detailed performance insights are available here.
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