The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.

By Rashika Singh

April 21 (Reuters) - Apple's leadership change is the start of a new phase for the iPhone maker, in which the focus will be on whether its deep ‌hardware heritage can be successfully fused with AI to sustain growth in a fast-evolving ‌tech landscape, Wall Street analysts said.

Apple faces mounting AI‑driven competition and pressure from the Trump administration to bring more manufacturing back ​home. Investors would be keen to see how CEO John Ternus navigates Washington's changing policies, an area that was deftly managed by his predecessor Tim Cook.

The company recently lost its place as the world's most valuable company to AI chip leader Nvidia, amid concerns about the slower pace of its generative AI rollout. ‌Despite introducing Siri in 2011, Apple ⁠has yet to turn that early lead into a dominant AI platform.

"Investors want to know if Ternus will engage in the AI race, or if he will ⁠follow Cook's lead. There is anticipation of new Apple products to boost their offering, and there is some expectation that Ternus could move fast to put his own stamp on the company," said Kathleen Brooks, research ​director at ​XTB.

"The external environment will be challenging for the new ​CEO - tariffs, war and supply chain concerns ‌need to be factored into his growth plans."

Ternus, a 25-year Apple veteran, has led development of key products including several generations of the iPhone.

The company's stock has surged about 20-fold to roughly $4 trillion since Cook took over as CEO in August 2011, a period in which Apple's valuation expanded sharply, with its forward price-to-earnings multiple rising from about 12x to 30x.

"The real question for investors is what comes ‌next, not who steps in," said Matt Britzman, senior equity ​analyst at Hargreaves Lansdown.

"Ternus now faces the challenge of turning ​Apple's improving AI software, including its partnership ​with Google's Gemini, into a genuinely AI-led device experience compelling enough to drive ‌the next major hardware upgrade cycle," Britzman said.

Morgan ​Stanley said any strategic ​AI shift under Ternus is likely to be long-term, meaning Apple will avoid the kind of aggressive AI spending now seen across Big Tech as rivals invest billions to accelerate the ​AI arms race.

"We don't expect any ‌material change in Apple's near-term strategy, though we're encouraged by the potential for new ​AI features alongside the next wave of product launches," analysts at Evercore ISI said.

(Reporting ​by Rashika Singh in Bengaluru; Editing by Arun Koyyur)