Morgan Stanley is bullish on Apple Inc. (AAPL.US): Pre-orders for the first foldable iPhone Duo are booming, with delivery times of up to 14 weeks, setting a ten-year record.

Morgan Stanley noted in its latest research report that Apple Inc. (AAPL.US)'s first foldable phone, the iPhone Duo, showed strong early demand on the first day of pre-orders, with a global average delivery time of about 14 weeks, setting the longest record for Apple Inc. models tracked by the firm over the past 10 years. Meanwhile, delivery times for the iPhone 18 Pro/Pro Max were lower year over year. Morgan Stanley maintained its "Overweight" rating on Apple Inc. with a price target of $355. iPhone Duo delivery time sets record: strong demand coexists with limited supply As of October 16, the first day of iPhone Duo pre-orders, the average delivery time across global markets tracked by Morgan Stanley was about 14 weeks, with estimated shipping dates pushed to mid-January 2027. This duration is the longest among Apple Inc. models tracked over the past 10 years. Morgan Stanley believes the exceptionally long delivery time reflects both very strong initial market demand for Apple Inc.'s first foldable phone and limited initial supply. According to the research data, iPhone Duo assembly volume in the second half of 2026 is about 7 million units, while Apple Inc.'s installed base of iPhone users is about 1.5 billion. It is worth noting that Morgan Stanley said that so far it has not seen signs of an iPhone Duo production increase plan for the second half of 2026, and recent assembly scheduling has even been slightly pushed back from the third quarter of 2026 to the fourth quarter. iPhone 18 Pro/Pro Max delivery times shorten year over year In contrast to the Duo, delivery times for the iPhone 18 Pro and Pro Max declined year over year in overseas markets and also shortened slightly quarter over quarter. Thirty-five days after pre-orders opened (as of October 16), the international average delivery time for these two models was about 2 to 3 weeks, overall below the level of the iPhone 17 series in the same period last year and about 2 days shorter quarter over quarter. By model, iPhone 18 Pro delivery times were softer, declining year over year in all countries outside the United States tracked by Morgan Stanley; iPhone 18 Pro Max was flat or longer year over year in some countries. Japan was the only market where iPhone 18 Pro Max delivery times lengthened year over year (by about 1.5 days), despite a slight quarter-over-quarter shortening. China was the country with the largest year-over-year decline in iPhone 18 Pro/Pro Max delivery times among the markets tracked by Morgan Stanley. Morgan Stanley noted that iPhone 18 Pro/Pro Max assembly volume in the second half of 2026 increased 18% year over year, while delivery times shortened year over year, a direction consistent with recent market reports of cuts to iPhone component orders. However, as of this week, Morgan Stanley had not seen or heard reliable reports of wafer order cuts at Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR or actual iPhone assembly volume cuts at Hon Hai. Overall, the Morgan Stanley report presents a two-sided picture of Apple Inc.'s new-generation products: the foldable Duo, driven by strong demand and limited initial supply, set a ten-year record for delivery times; iPhone 18 Pro/Pro Max delivery times shortened year over year, consistent with rumors of component order cuts, but production cuts at the core contract manufacturer level have not been confirmed. As of last Friday's U.S. stock market close, Apple Inc. rose 0.43% to $343.46. Year to date, the stock has gained nearly 27%.