Although Apple (AAPL) did not deliver many surprises beyond expectations at Tuesday’s iPhone 17 launch event, several analysts pointed out that the newly introduced iPhone Air actually laid an important foundation for the foldable model expected to be released next year. Citigroup analyst Atif Malik and his team emphasized in an investor report: “With its slim, lightweight, portable, and durable features, the iPhone Air paves the way for the launch of a foldable iPhone. We expect this to trigger a stronger wave of device replacement demand.”
Apple also unveiled the latest versions of AirPods and Apple Watch and introduced several new features. Although Apple’s stock price fell by approximately 3% after the event, historical performance shows that Apple typically experiences a short-term decline of a few percentage points following a product launch, followed by a gradual recovery over weeks or months.
Citigroup reiterated its “Buy” rating for Apple after the event, with a target price of $245. Goldman Sachs also maintained its “Buy” rating and set a target price of $266, noting in its report that the new iPhone exceeded expectations in certain hardware specifications. Goldman Sachs analyst Michael Ng stated: “The iPhone Air offers a battery life of 27 hours, which is three hours less than the base model iPhone 17 but exceeds expectations given the constraints of its thinner design. The A19 Pro chip it uses outperforms the A19 chip previously predicted by Goldman Sachs and the industry. The base model iPhone 17 features an upgraded dual 48-megapixel rear camera setup, surpassing the previously expected 48-megapixel + 12-megapixel combination. Additionally, Apple has incorporated its self-developed N1 Wi-Fi chip for the first time, a move expected to enhance its independence in the supply chain.”
Wedbush continued to assign Apple an “Outperform” rating with a target price of $270. The firm’s analyst Daniel Ives believes that Apple is committed to driving new application scenarios within its ecosystem and is well-prepared for an upgrade cycle based on technological innovation, leveraging the world’s largest consumer electronics installed base—including 2.4 billion iOS devices and 1.5 billion iPhones.
