Foldable iPhone Duo Priced Below Expectations, Raises Concerns
Apple's latest foldable iPhone, the iPhone Duo, has drawn broad praise from analysts. However, some are worried about the lower-than-expected price point of $1,999.
BofA analyst Wamsi Mohan, who still maintains a Buy rating on Apple, cut his price target to $370 from $380. He believes that the foldable screen brings iPad-like productivity to a phone and opens up a bigger market for Apple.
But with memory and component costs rising, a lower price point could squeeze Apple's gross margin. Mohan reduced his average selling price assumption by $14 for fiscal 2027, to $1,099. As a result, BofA's fiscal 2027 earnings per share estimate falls to $9.46 from $9.92.
Other analysts also weighed in on the iPhone Duo. TD Cowen kept a Buy rating and a $400 price target, while Rosenblatt analyst Barton Crockett maintained a Neutral rating and a $303 target. Apple carries a consensus Buy rating from 29 analysts tracked by Benzinga Analyst Ratings, with an average price target of $335.