Apple Inc. (NASDAQ: AAPL) is demonstrating renewed strength in the market as its stock price reaches an all-time high. The surge has been largely driven by strong demand for the new iPhone 17 series, which is reportedly outperforming its predecessor, the iPhone 16, in both the U.S. and Chinese markets.
Strong iPhone Demand Boosts Apple Stock
Loop Capital analyst Ananda Baruah highlighted that Apple is entering a significant adoption cycle for its iPhone line. He anticipates increased shipment growth continuing through 2027, coinciding with the launch of the iPhone 20, marking the 20th anniversary of the iPhone. This anticipated growth is attributed to heightened upgrade activity and renewed interest due to upcoming design changes.
Projected iPhone Shipments
- 2025: Expected shipments of approximately 238 million units.
- 2026: Anticipated record of around 250 million units.
- 2027: Forecasted shipments to exceed 260 million units.
Baruah believes Wall Street’s expectations of the iPhone 17’s performance may still have “material upside.” He estimates that the iPhone 17 Air, which is the successor to the iPhone 16 Plus, will sell around 27 million units in its first year. In contrast, the iPhone 16 Plus sold only 8 million units during its inaugural year.
Future Design Innovations
Apple is poised to introduce at least two new models in the next two years. The upcoming releases include the foldable iPhone 18 Ultra expected in September 2026 and the iPhone 20, which is positioned as a groundbreaking “AI Phone.” These innovative designs are anticipated to replicate Apple’s history of market creation, similar to what occurred with the iPad.
Analyst Recommendations
Baruah has upgraded Apple’s stock rating from Hold to Buy. He also revised his price target from $226 to $315, suggesting a potential 20% increase in stock value over the forthcoming months. According to market data, Apple’s stock enjoys a consensus rating of Moderate Buy, supported by 20 Buy ratings, 12 Holds, and 3 Sell ratings.
| Stock Ratings | Number of Ratings |
|---|---|
| Buy | 20 |
| Hold | 12 |
| Sell | 3 |
As Apple positions itself for growth in the coming years, the market remains optimistic about its prospects. Investors are encouraged to conduct their analyses before making decisions based on these insights.
