Apple Price Target Jumps 54% to $400 Amid Foldable iPhone Hype and AI Strategy

Rothschild Redburn analyst James Cordwell has upgraded Apple Inc. (NASDAQ:AAPL) to Buy from Neutral, raising its price target by a significant 54% to $400.

The upgrade is based on two specific catalysts: the expected growth of iPhone sales at a 12% compound annual rate over five years and Apple's installed base of 2.55 billion devices, which provides customer loyalty that competitors find difficult to replicate.

Cordwell also mentioned that the open-source AI models from OpenAI and Anthropic pose a risk to Apple's Services business, but believes that this could give Apple an opportunity to rebuild Apple Intelligence on its own terms, reducing dependence on any single partner and protecting the segment he described as Apple's most valuable business.

The upgrade is rare, given that it raises the price target by 54% on a company worth over $3 trillion. The foldable iPhone Ultra, expected to launch in September 2026 at a starting price of around $2,199, could reshape Apple's revenue mix and push the average iPhone selling price up by approximately 11% by fiscal 2027.