Bank of America reaffirmed its Buy rating on Apple stock on July 30, keeping a $380 price target that places the shares roughly 14% above their $333.43 close that day. Analyst Wamsi Mohan built his updated forecast around one core idea: Apple‘s guidance reflects what it can build, not what people want to buy.

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Apple‘s fiscal third-quarter earnings showed $109.4 billion in revenue, up 16% year over year, with EPS of $2.02. Bank of America flagged that about $0.11 of that came from a one-time tariff refund, meaning earnings landed roughly in line with estimates once that is removed. September quarter guidance of 9% to 11% revenue growth came in below the roughly 12% analysts had modeled.

CEO Tim Cook said: “It’s a demand forecast issue, to be candid, where the iPhone and the Mac are both doing remarkably better than we thought they would do.” Asked whether higher prices were pulling purchases forward, Cook pointed to the data: “We’ve been running at this 22% growth rate for the last while, for this cycle has been a 22% increase year to date, and so it’s not obvious in the data that what you’re asking is true.”

Bank of America‘s five-part forecast rests on lean channel inventory, resilient iPhone demand, easing component costs later this year, growing Services strength, and Apple‘s AI growth path through Siri and premium iCloud tiers. Cook explained that higher iPad and Mac prices stem from memory costs, calling it “a hundred-year flood on the memory pricing with exponential increases.”

Mohan bases his $380 target on 37 times his 2027 EPS estimate of $10.32, a premium above Apple‘s historical range. He argues the multiple is justified by a multi-year iPhone upgrade cycle, expanding AI opportunities, and one of the most consistent capital return programs in the market. Apple generated $34.4 billion in operating cash flow in the June quarter, ended with about $62 billion in net cash, and returned $25.8 billion through buybacks plus roughly $4 billion in dividends.

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