This Analyst Still Thinks Apple Stock Is a Top Pick for 2026

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But that hasn’t stopped analysts at Evercore ISI from calling AAPL stock their top hardware pick for 2026. The bullish catalysts sound familiar — strong product cycle and healthy consumer demand — but there’s one factor that investors desperately wanted to hear about: artificial intelligence (AI).Apple’s Siri assistant is set to receive an AI upgrade, which has excited users around the world. This won’t be a small tweak, either. The company is carrying out a deeper integration of generative AI and striving to provide a better contextual understanding through its voice assistant. By doing so, it intends to compete with modern AI models like Gemini and ChatGPT.Ignore the Apple Noise and Consider Buying Qualcomm Stock for 2026Alphabet Stock Is Still Undervalued According to Analysts - 1 Month GOOGL Puts Yield 2.50%If You Missed the Boat, Nvidia (NVDA) Stock Options Are Giving You Another TicketOur exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today!While that seems far away, Apple does boast the largest user base in the world. By getting anywhere close to these models, and providing seamless access through its devices, the company could flip the game on its head and generate a huge untapped revenue source. At least that's what the bullish thesis rides on, though previous delays in trying to perfect this technology have left investors wary.Apple designs, manufactures and sells devices like smartphones, laptops, and tablets, among others. The company is based in Cupertino, California, but its users are present in almost every country in the world.AAPL stock's price has doubled over the past five years. Despite its size, the firm continues to deliver shareholder returns. However, AAPL underperformed in the last one year, registering only about half the gains of the S&P 500 Index ($SPX). In the last one month, AAPL stock is down nearly 7% while the S&P has gained almost 2%. This gives fresh entrants a good base to get in if they want to outperform the index in 2026, especially with the backdrop of Evercore’s bullish report.barchart.comApple’s lack of flashy AI success has kept its valuation close to its historic levels. AAPL is trading at a forward price-to-earnings multiple of 31.9 times, which is expensive but only slightly higher than its five-year historic average. The forward price-to-sales and price-to-cash flow ratios are also trading at a similar reasonable premium. This could all change once the improved AI assistant comes out and investors start calling Apple an AI company. 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