11:52 AM EDT, 07/29/2024 (MT Newswires) -- Apple ( AAPL ) will likely post a "modest beat" for fiscal Q3 results, BofA Securities said Monday in a report.

The investment firm expects Apple ( AAPL ) to post fiscal Q3 EPS of $1.35 on revenue of $84.5 billion on Thursday, versus consensus estimates of $1.34 for EPS on revenue of $84.4 billion.

BofA also expects results above consensus forecasts in the September quarter.

Investors may "mostly ignore" fiscal Q3 results and focus on the outlook for new artificial intelligence-enabled iPhones and revenue growth in China, along with comments on market share and services revenue growth, expected to post a "strong performance" in Q3 and Q4, BofA said.

"We see pent-up demand and a meaningful number of older iPhones in the installed base, and the new AI features should help drive an upgrade cycle," the report said.

BofA reiterated Apple's ( AAPL ) buy rating and kept its $256 price target.

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