Josh Brown expects Apple shareholders to reap immediate rewards if the iPhone maker struggling with artificial intelligence goes through with a deal for Perplexity AI. "If they do it, you get a new all-time high in Apple the day they announce it," Brown told CNBC's "Halftime Report" on Tuesday. "I think this is what everyone who's holding shares of Apple, and believes that this will remain a relevant company for the next 10 years into the AI generation, wants them to do." The CEO of Ritholtz Wealth Management and CNBC PRO contributor made his comments following a report from The Information, citing people familiar with the matter, that said Apple executives are discussing the possibility of buying the startup. Shares of the iPhone maker were up marginally following the report, up 0.1%. AAPL 1D mountain Apple, over one day A deal with Perplexity AI would galvanize investors who have been waiting for the iPhone maker to come out with something big on artificial intelligence, after its initial Apple Intelligence product floundered against competitors and failed to impress the Street. It would also be a boon for the stock, which has underperformed this year. Apple is just one of two Magnificent Seven stocks that remain lower in 2025. Shares are down by more than 9% this year, and remain more than 12% off its recent high. Brown also expects any deal with Perplexity AI could mean CEO Aravind Srinivas will also be set up as a potential successor at current Apple CEO Tim Cook following a number of years running the AI business. "If we truly believe that AI is going to be the most important technological revolution since electricity, which is effectively, I think, the House view of Silicon Valley, then you want one of the earliest and most talented entrepreneurs in the space," he added. To be sure, Brown does not expect that the company will go through with the deal. While Perplexity AI has been floated as potential deal in the past for Apple, it has not been the company's pattern to make purchases. "I like Apple doing something like this. I don't predict that they will. They tend not to do deals," Brown said. "But I think the stock makes an all-time high if they do it." 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. 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.
