Apple Intelligence makes cycle ‘too early to call,’ says BofA

BofA notes that Apple’s (AAPL) September quarter iPhone demand remained strong, while Services revenue came in somewhat lower than the firm expected for the quarter and for the guide, while new products are causing a wider guidance range for fiscal Q1. The staggered launch of Apple Intelligence creates a product refresh cycle different from the past and makes it “too early too call the cycle,” argues the analyst, who expects iPhone growth to improve through FY25 and beyond after iPhones are “likely flat to modestly up” into the December-end quarter. The firm, which views the Q1 revenue guidance as conservative and sees the opportunity for Apple to modestly beat in the December quarter, keeps a Buy rating and $256 price target on Apple shares.