Posted 1/18/2024, 11:29:00 AM
Bank of America Upgrades Apple, Raises Price Target to $225 on iPhone Strength and AI Outlook
- Bank of America upgrades Apple stock rating to Buy from Neutral, raises price target by $17 to $225 per share
- Upgrade supported by expectations of stronger iPhone upgrade cycle, higher Services growth, strong capital returns
- Bank of America expects launch of Vision Pro next month and AI-powered iPhone in 2024/2025 to drive upside
- EPS estimates raised above Street estimates by 7% and 4% for fiscal 2025 and 2026 respectively
- Supply chain checks show higher iPhone production in December, potentially offset by lower March numbers