Wall Street Divided on Apple's $1,999 Foldable iPhone Duo

Apple Inc.'s (NASDAQ: AAPL) entry into the foldable smartphone market with the $1,999 iPhone Duo has drawn a mixed reaction from Wall Street. Following the company's "Surprise and Shine" event, analysts are weighing the potential of the new premium device against concerns over supply, strategy, and the company's progress in artificial intelligence.

Bulls See Premium Strategy Paying Off

Some analysts view the move as a significant step into a new product line that reinforces Apple's high-end market position. Citi maintained its Buy rating and $365 price target, calling the Duo the “biggest new hardware category” for the company since the Apple Watch and AirPods. The firm also highlighted the new Siri AI, built into iOS 27, as the event's most important software announcement.

Goldman Sachs, which also holds a Buy rating, was constructive on the financial implications. Analysts there noted that Apple's fall lineup, which includes $100 price increases on iPhone 18 Pro models and a new 2-terabyte storage tier, should support growth in the company's average selling price (ASP).

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Cautious Outlook on Supply and AI

Other firms expressed more caution. Oppenheimer, reiterating a Perform rating, expects the Duo to become the "most successful foldable phone on the market" but warned that supply is likely limited to between 8 million and 10 million units this year, potentially constraining its initial impact.

Needham maintained a Hold rating, arguing that a larger screen does not solve Apple's deeper strategic challenges. Analyst Laura Martin noted that the absence of new low-end iPhones until the spring could threaten near-term unit sales. The firm also characterized Apple's AI integration as feeling "too little, too late" amid accelerating competition in the space.