Evercore has observed strong demand for the iPhone 18 Pro. How will this affect Apple's stock?
Two new smartphone models went on sale on September 18
Apple has begun selling the iPhone 18 Pro and Pro Max, while the lower-end models won't be released until spring / Photo: Apple
On Friday, September 18, the iPhone 18 Pro and Pro Max went on sale. Apple took a risk by releasing only the high-end models of the new lineup first, but Evercore ISI analyst Amit Daryanani believes this risk will pay off—both for the company’s sales and its stock, according to Barron’s. He raised his price target for Apple shares from $365 to $380, implying a 13% increase from the September 18 closing price. The analyst also reaffirmed his “outperform” rating, which is equivalent to a buy recommendation.
Evercore revised its target price following an annual survey of approximately 4,000 consumers asking whether they intended to purchase any of these smartphones, according to Barron’s. According to D'Arianani, the results suggest that the iPhone upgrade cycle may exceed expectations. “Demand appears to be slightly higher than last year and could support another phase of iPhone sales growth following an already strong upgrade cycle,” Daryanani wrote.
The iPhone 18 Pro and Pro Max were unveiled at Apple’s event last week. According to Barron’s, Wall Street expects the company to unveil the base models this spring. Previously, Apple had released all models in the lineup simultaneously. Pre-orders for the radically new gadget—Apple’s first foldable smartphone, the iPhone Duo—will begin on October 16, and the devices will hit stores on October 23.
Strong sales of premium smartphones are good for Apple’s revenue and profitability, but there are also risks, Barron’s warns. The iPhone 18 Pro models aren’t just expensive—they cost $100 more than their predecessors: Apple is raising prices amid a memory shortage, and this could hurt demand.
U.S. mobile carriers have increased incentives for iPhone buyers, noted BofA Securities analyst Vamsi Mohan on Thursday. The generous promotions “largely offset Apple’s price increases this year,” Mohan wrote in a note cited by Barron’s. He also recommended buying Apple stock and set a price target of $370.
Other analysts are also optimistic about iPhone 18 Pro sales. The delivery times for the iPhone 18 Pro and Pro Max—that is, the time from when a customer places an order to when it is delivered—point to “healthier underlying demand” for these devices, Morgan Stanley analyst Eric Woodring wrote in a note on Wednesday.
This article was AI-translated and verified by a human editor
