Jim Cramer sends strong signal to Apple stock investors

Jim Cramer, the CNBC host, expressed strong enthusiasm for Apple's latest foldable iPhone Duo, suggesting that it could generate sales beyond the usual replacement cycle. After visiting an Apple store, Cramer praised the iPhone 18 but emphasized his excitement for the Duo, planning to buy it as a second phone. This stance indicates that the Duo could potentially expand spending per user, as it may serve as a device customers purchase alongside their existing phone.

Cramer's enthusiasm is particularly noteworthy, as he had already invested in the iPhone 18 due to its improved battery life. His interest in the Duo goes beyond technical specifications, as he highlighted the absence of a visible crease, a feature that was reported by some hands-on testers. Cramer's comments suggest that Apple could tap into a fresh market for loyal customers willing to spend more, even when their existing phones still function well.

The potential for increased hardware revenue lies in the incremental hardware sales rather than simply shifting buyers between iPhone models. However, the commercial test for the Duo's success will rely on whether enough customers perceive a distinct everyday purpose for the device to justify purchasing it alongside another phone, which comes with a steep price tag of $2,000.