Apple’s New iPhone Is Going to Cost Significantly More Than Last Year. That’s Great News for These 2 Potential Millionaire-Maker Stocks.
https://www.fool.com/investing/2026/07/16/apples-new-iphone-is-going-to-cost-significantly-m/
Publish Date: 2026-07-16 15:57:00
Source Domain: www.fool.com
Next-generation iPhones are just around the corner, and Apple (AAPL +1.72%) is expected to spend significantly more money to manufacture them this year.
Market research firm Counterpoint Research notes that the bill of materials (BOM) for the anticipated iPhone 18 Pro Max could increase by almost $300 compared with its predecessor. While the BOM of last year’s model was around $500, the next-generation device could see that number rising to $800. The research firm adds that memory chips and the processor will be the biggest drivers of this cost increase.
Apple is likely to take a margin hit even if it decides to increase the prices of this year’s models by $200, according to Counterpoint. It is easy to see why this Magnificent Seven company could absorb some of the costs rather than pass them on to customers. Apple’s current iPhones have been highly popular, helping the company increase its market share by four percentage points year over year in Q2 2026 to 20%, according to Omdia.
Also, Apple has a large installed base of users on older iPhones, and it would want them to upgrade to its latest devices. So, it won’t be surprising to see iPhone sales growing this year, even though the broader smartphone market struggles due to high component costs. That’s great news for Sandisk (SNDK 12.63%) and Taiwan Semiconductor Manufacturing (TSM 2.68%), two companies that could win big from Apple’s higher costs and price hikes.
Image source: Getty Images.
Memory manufacturer Sandisk is poised for windfall gains from the new iPhones
The cost of dynamic random-access memory (DRAM) and NAND flash storage will witness the biggest jump in the BOM of Apple’s flagship smartphone this year. In fact, NAND flash will be the costliest component in the iPhone 18 Pro Max, according to Counterpoint.
That’s great news for Sandisk, a pure-play NAND flash storage manufacturer. This growth stock has already shot up by a whopping 539% in 2026, as of this writing. Sandisk’s multibagger…
