Analysis of Underperforming Dow Stocks Recommended by Morgan Stanley The Smart Investor’s Guide to Dow Stocks on the Mend

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By Ronald Tech


Recommending Resilience: Apple Inc.

The iconic Apple Inc. (AAPL) has seen better days, lagging with a 9.9% decline YTD, while the overall Dow Index has shown a slight positive move of 0.9% during the same period. Despite facing regulatory hurdles and sales restrictions in China, Apple’s Q1 performance showcased remarkable resilience. The company reported an impressive net sales figure of $119.6 billion, exceeding analyst projections. With earnings per share growing by 16% annually and an optimistic profit outlook, Apple remains a compelling investment prospect.

Optimism in the Orchard

Analysts from Morgan Stanley aren’t the only ones sweet on Apple’s future. The recent 2.5% surge in Apple shares following an upgrade from Bernstein underscores growing confidence in the company’s potential. With an average analyst price target indicating an 18.3% upside, and a Street-high target suggesting a whopping 44.4% potential rise, Apple’s stock is flavored to entice investors looking to take a bite of the tech giant.

Revving Up: Intel Corporation

On the flip side, Intel Corporation (INTC) has had a rough go of it, with a staggering 38.8% YTD decline. However, the chip giant’s recent Q1 earnings report showing promising results has injected fresh hope into the stocks. With CEO Pat Gelsinger’s strategic vision and a focus on driving growth through AI solutions, Intel is poised to rebound stronger.

Eyeing the Future

In spite of challenges, analysts remain cautious on Intel stock, with a consensus “Hold” rating. But with an average analyst price target hinting at a 40% upside and a bullish Street-high target pointing to a potential 121.7% surge, Intel’s revival story is gaining traction among investors seeking value in undervalued assets.

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