BofA Reiterates Buy on Apple Stock as Shares Hit Yearly High

Bank of America sets Apple target at $350, a 30% rise, despite downside risk to $205.

  • Analysts at Bank of America reiterate a ‘Buy’ rating for Apple stock (AAPL), projecting a price target of up to $350, a potential 30% increase from its recent $270 high.
  • The tech giant’s stock surged 4.1% to a yearly high on Monday, continuing a nearly 20% rise over the past year despite prior geopolitical pressures.
  • While confident in Apple’s revenue growth, Bank of America also outlines a downside scenario where the stock could fall to around $205 in market turbulence.

The financial world is watching as Bank of America goes bullish on Apple this week, issuing a ‘Buy’ target even as the stock hit a yearly high near $270 after a 4.1% Monday surge. According to a recent note from Bank of America Securities, the new price target of $350 offers a potential 30% return on investment.

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Consequently, a $1,000 investment could grow to $1,300 if this forecast proves accurate. The bank’s previous target for AAPL was a lower $325, indicating strengthened analyst confidence.

However, the same note also provided a risk assessment for potential market downturns. They stated that Apple stock could fall to a downside range of approximately $205.

Meanwhile, Apple has demonstrated remarkable price recovery after a previous low around $170. This resilience comes despite pressures on its manufacturing units in key hubs like China and India.

The bank’s optimism is partly based on Apple’s store revenue growth of 7% year-on-year. “Strong capital returns, eventually winner at AI at the edge and optionality from new products and markets,” read their client note.

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