BofA Cuts Apple Target to $370

Bank of America lowered its price target on Apple from $380 to $370 on 10 September, while keeping a buy rating. The bank trimmed its 2027 earnings per share estimate from $10.32 to $9.98, citing expectations of slightly lower gross margins due to lower-than-expected new iPhone prices alongside rising costs for memory and other components. The new target continues to reflect an earnings multiple of 37 times projected 2027 profit.

The bank noted that pricing may boost device volume by appealing to consumers, but could limit the company's ability to pass on higher manufacturing costs. Apple closed at $315.34 on 9 September, and in pre-market trading on 10 September in New York, the stock rose 0.49% to $316.69.

The launch event marked the first major product showcase by John Ternus as CEO of Apple, who described the iPhone as an intelligent personal hub. Bank of America highlighted the lineup's artificial intelligence features, which run on-device models while routing complex tasks to Private Cloud Compute. Wall Street remains divided on the product rollout. Melius Research and Evercore ISI hold targets of $370 and $365, pointing to revenue upside from models such as the foldable iPhone Duo starting at $1,999. HSBC kept a buy rating with a $366 target, while Jefferies maintained an underperform rating with a $263.66 target and Lynx Equity downgraded the stock with a $250 target, citing supply chain and memory constraints.