Bank of America Sticks with 'Buy' on Apple Amid iPhone 18 Strength

Bank of America has reaffirmed its 'buy' rating for Apple Inc. (NASDAQ:AAPL, XETRA:APC), citing several factors that support a strong iPhone cycle.

The bank's analysts expect higher average selling prices and stronger Duo uptake to contribute to the positive outlook. Additionally, Siri AI is expected to increase interest in upgrades, which could further boost sales.

While shipment lead times for the iPhone 18 Pro and Pro Max are less extended than last year, maximum trade-in credits have risen to $1,200 for the Pro Max from $1,100 for its predecessor. This could make the devices more appealing to customers who want to upgrade without breaking the bank.

The carriers, including Verizon Communications Inc. (NYSE:VZ, XETRA:BAC) and AT&T Inc. (NYSE:T, XETRA:SOBA), are also benefiting from the iPhone 18 lineup. By requiring customers to take higher-tier unlimited plans and receive trade-in credits over 36 months, they can support service revenue and retention.