Apple Foldable iPhone Launch May Backfire on Investors
Apple is set to unveil its first foldable iPhone at a major product event on Wednesday. Investors are eager to buy into the stock, but analysts warn that the excitement may be short-lived.
The event, led by new CEO John Ternus, will mark Apple's biggest product launch in years. However, Wall Street is bracing for higher prices and a rich valuation, which could lead to a sell-the-news reaction.
Rising memory costs have become a significant problem across smartphones, and analysts expect Apple to pass on at least part of this pressure to customers. KeyBanc Capital Markets estimates that the iPhone 18 Pro could rise by $150 to $1,249, while the Pro Max could increase by $200 to $1,399.
The foldable iPhone is expected to cost a whopping $2,199. Analysts warn that broad increases could trigger 'sticker shock' and hurt unit demand, while more selective increases might protect volumes but raise questions about margins and further hikes.