BofA Reiterates Buy on Apple (AAPL) With $325 Target

Apple Inc. (NASDAQ:AAPL) is one of the AI Stocks Analysts Are Watching Closely. On January 6, BofA Securities analyst Wamsi Mohan reiterated a Buy rating on the stock with a $325.00 price target. Analysts are optimistic about the stock driven by steady App Store momentum, strong capital returns, and long-term AI leadership potential.

The firm highlighted how App store revenues in the first quarter of 2026 increased to $8.6 billion, a 6.8% year-over-year increase based on developer revenue data from SensorTower.

Meanwhile, total downloads across iPhone and iPad platforms grew 1.5% year-over-year to 8.9 billion during the same period. The firm noted how this marks the slowest quarterly revenue growth in an estimated 11 quarters, dating back to fiscal year 2023.

Apple’s app store also saw increased dollars per download to $0.97, a 5.3% increase. Global App store revenue increased 5.7% in December, faster than the app store download growth of 3.1% year-over-year.

China’s app growth, however, was weaker. Nevertheless, the firm keeps a Buy rating on the stock due to strong shareholder returns, AI potential, and future product opportunities.

“While global growth was solid in December, we note China experienced weaker y/y performance (Fig 11) which was likely affected by tougher comps, slower usage (weaker overall economy), and possible lower commission. Maintain Buy on strong capital returns, eventually leader at AI at the edge & optionality from new products/markets. PO stays at $325 on 32x C27E EPS of $10.11.”

Apple is a technology company known for its consumer electronics, software, and services.

While we acknowledge the potential of AAPL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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