Apple shares rise as iPhone Duo draws analyst interest

Apple shares rose 1.1% on Thursday after the company unveiled the iPhone Duo and the iPhone 18 Pro and Pro Max at its product event. Analysts broadly reacted positively to the foldable but varied on the strength of the iPhone 18 cycle and the impact of higher component costs.

Citi maintained a Buy rating with a $365 price target and described the iPhone Duo as “Apple’s biggest new hardware category since the watch and AirPods.” The firm noted Apple had previously raised prices for the iPhone 16 and 17 by at least $100 to offset rising memory costs, and added that pricing for the iPhone 18 family and the foldable was broadly in line with its expectations.

Bank of America kept a Buy rating while trimming its price target to $370 from $380. Analyst Wamsi Mohan characterized the event as the first major product launch under CEO John Ternus and highlighted a focus on core product values and customer-centered development. Mohan observed that the new iPhone prices came in below the firm’s estimates, which could support stronger unit sales but may compress gross margins as memory and other component costs rise.

Morgan Stanley retained an Overweight rating with a $360 target. Erik Woodring framed the iPhone as an intelligent personal hub and pointed to the iPhone Duo and planned Siri AI features as central elements. Woodring cited the expected A20 system-on-chip, built on a 2nm process, as a source of performance gains and noted tighter hardware and software integration at the premium end of the market.

GF Securities maintained a Hold rating. Henry Huang described the roughly $100 price increase for the iPhone 18 Pro versus prior models as better than feared but flagged uncertainty around the iPhone 18 Pro cycle, including limited hardware upgrades and potential margin pressure. Huang added that the Duo could partly offset those concerns and characterized the iPhone 18 series as a modest product cycle.

J.P. Morgan analyst Samik Chatterjee wrote that the launch aligned with his expectations and that investors may have anticipated larger price rises given higher memory costs. Chatterjee wrote that pricing could support iPhone volumes and pointed to Siri AI features, powered by Apple’s foundational models and slated for a mid-September beta, as a possible contributor to revenue. Chatterjee added that early supply-chain feedback from orders will be a key near-term indicator of demand.

Analysts’ ratings and targets now include Citi $365 Buy, Bank of America $370 Buy (from $380), Morgan Stanley $360 Overweight and GF Securities Hold. Market participants will watch order data and margin figures as the new models reach customers.