UPDATE: Bank of America Reiterates Neutral Rating, Raises PT on Apple on Buyback Upside

In a report published Thursday, Bank of America analyst Scott D. Craig reiterated a Neutral rating on

, and raised the price target from $590.00 to $615.00. In the report, Bank of America noted, “A significant amount of good news on F2Q14 and F3Q14 outlook, and the stock is up ~8% – iPhone units surprised, GM% beat our estimate by 144bps, buybacks increased by $30bn (with a stock split, dividend increase), and F3Q14 outlook was better than feared. That said, from a high level, how much has really changed from a fundamental revenue perspective? Apple continues to struggle with revenue growth – despite the iPhone upside, including China Mobile launch, F2Q14 sales growth was only 5% Y/Y, with F3Q14 outlook pointing to similar. We continue to believe the stock is range bound to high-$500's (even if slightly higher than previous; PO now $615), without growth catalysts (i.e. new product categories) and/or accelerated revenue growth, with possible trade up in C2H14. Neutral.” Apple closed on Wednesday at $524.75.