Bank of America Lifts Apple (AAPL) Price Target to $380 on AI Revolution Expectations

Table of Contents Shares of Apple climbed on Tuesday following Bank of America’s decision to establish a Street-leading $380 price target from a major financial institution, driven by expectations that agentic artificial intelligence will usher in a transformative period for the technology giant. AAPL shares advanced approximately 0.5% during premarket sessions following the announcement. Apple Inc., AAPL Wamsi Mohan, BofA’s lead analyst covering Apple, elevated his price objective from the previous $330 level while maintaining his bullish Buy stance. The updated projection applies a 37x multiple to his fiscal 2027 earnings forecast of $10.29 per share, representing an increase from the earlier 32x valuation multiple. The investment thesis revolves around a central premise: as AI assistants increasingly manage functions including web searches, e-commerce transactions, payment processing, and calendar management, the technology platform controlling these interactions will capture disproportionate value. According to Mohan’s analysis, smartphones represent that critical platform — with Apple maintaining dominant control. “In an agentic world, value accrues to the platform that controls user intent, personal context, app access, permissions, identity, authentication, payments, and trust,” Mohan explained in his research note distributed to institutional clients. The analyst’s framework suggests Apple’s existing infrastructure already encompasses these essential components at massive scale, providing strategic leverage over AI model developers, application creators, retail partners, advertising platforms, and financial transaction networks. Mohan highlighted Apple’s in-house silicon development and iOS ecosystem as two fundamental competitive advantages. Purpose-built processors enable AI operations with superior response times, enhanced privacy protections, and improved cost efficiency. Meanwhile, iOS determines the user experience through which AI capabilities reach consumers. The analyst also acknowledged that Apple will likely deploy a hybrid architecture combining on-device processing, its Private Cloud Compute infrastructure, and external cloud resources to deliver robust AI functionality as usage scales. Mohan placed significant emphasis on Apple’s planned Siri overhaul. To fully capitalize on the agentic AI market opportunity, the analyst argues that Siri must evolve beyond its current limitations into a true intelligent agent capable of comprehending user objectives, surfacing appropriate applications, accessing personalized data, and executing complete task sequences. Should Apple successfully execute this vision, the financial impact could prove substantial. Mohan’s financial modeling projects an agentic Siri platform could contribute $15B to $30B in incremental revenue to Apple’s fiscal 2030 top line. Under a more aggressive adoption forecast, that contribution could expand to a range of $40B to $65B. He further observed that Apple’s decision to abandon its net cash neutral policy signals a strategic pivot — the company now appears prepared to deploy significantly greater capital toward AI infrastructure investments. The overall Wall Street sentiment toward AAPL remains generally positive, though BofA’s revised target substantially exceeds the analyst community’s consensus. The mean price target across covering analysts registers at $320.83, implying modest upside of approximately 3% from current market prices. Among analysts who have updated their positions during the past three months, the ratings distribution includes 18 Buy recommendations, 10 Hold ratings, and only one Sell rating. Bank of America’s $380 price objective represents the most optimistic projection regarding Apple’s artificial intelligence monetization potential yet issued by a major Wall Street institution.