Rothschild & Co Redburn Upgrades Apple Stock Rating to 'Buy'

Rothschild & Co Redburn has upgraded Apple's stock rating to 'Buy' from 'Neutral', citing potential growth in the foldable smartphone market and a shift in its artificial intelligence strategy.

The analyst, Timm Schulze-Melander, expects Apple to sell 14 million units of its first foldable iPhone by fiscal 2027, with only 4 million coming at the expense of existing models. This could increase average iPhone prices by 11% by June 2027 and boost revenue growth above consensus estimates.

The analyst also sees potential in Apple's evolving AI strategy, which may reduce its reliance on Google's technology and strengthen its competitive position.