URGENT UPDATE: Bank of America has just delivered a bullish outlook on Apple Inc. (AAPL) stock, positioning it for a critical earnings test scheduled for January 29, 2024. This comes on the heels of a groundbreaking partnership with Google, which is set to transform Apple’s AI capabilities through enhancements to Siri.
The bank’s latest report highlights significant near-term catalysts for Apple, driven by strong demand for the iPhone 17 and impressive growth in its Services division. Analysts predict that Apple’s December quarter sales could reach $140 billion, with earnings per share (EPS) estimated at $2.69, both exceeding market expectations.
In a significant move, Apple recently announced a strategic multi-year partnership with Google, integrating the Gemini AI models to elevate Siri’s functionality. This shift is seen as a pivotal moment for Apple, which has faced criticism for its slow progress in AI. Daniel Ives of Wedbush Securities remarked, “This is what the Street has been waiting for,” emphasizing the deal as a major validation for both companies.
Bank of America has reaffirmed its strong buy rating on Apple stock, maintaining a price target of $325, suggesting nearly 25% upside from current levels. The bank indicates that recent underperformance in Apple’s stock reflects a disconnect between market sentiment and the company’s solid fundamentals.
The report outlines key projections for Apple, including an increase in iPhone units to 85 million for the December quarter, marking a 17% year-over-year increase. Additionally, Apple’s Services revenue is expected to grow by 13%, despite challenges in the App Store market in China.
With the partnership with Google set to enhance Siri, the stakes are high. Siri currently processes an astonishing 1.5 billion user requests daily, making it a central player in Apple’s ecosystem. The service generated $28.75 billion in sales for the September 2025 quarter alone, a significant increase from $53.7 billion in 2020.
Looking ahead, Bank of America highlights the anticipated launch of a foldable iPhone later this year, which, coupled with a more capable Siri, could drive renewed interest from institutional investors. However, there are risks involved, including potential regulatory scrutiny due to the partnership with Google and rising costs in semiconductor markets.
As Apple prepares for its earnings call, investors are keenly focused on how these developments will reshape the company’s trajectory in the competitive tech landscape. The enhanced AI capabilities through Gemini not only position Apple for success but could also redefine user engagement across its services.
Stay tuned for further updates as we approach Apple’s earnings announcement. This is a developing story that could significantly impact investor sentiment and market trends.
