With Apple (AAPL) CEO Tim Cook teasing a new product launch Wednesday, analysts have speculated a new lower-cost iPhone model could soon hit store shelves.

Cook didn’t specify what’s coming in his announcement post on X earlier this week, but analysts have previously speculated a new iPhone SE model could be unveiled in early 2025. Morgan Stanley said Tuesday it expects the iPhone SE4 to start at $499 and come equipped with Apple Intelligence—which Cook has said is driving record iPhone upgrades.

Morgan Stanley maintained its “overweight” rating and $275 price target. Of the 16 analysts covering Apple tracked by Visible Alpha, nine have a “buy” or equivalent rating for the stock, compared to five “hold” ratings and two “sell” ratings. Their consensus price target is roughly $253, about a 4% premium over Friday’s close. 

The product launch comes after Alibaba (BABA) Chair Joe Tsai said the Chinese e-commerce giant is partnering with Apple to bring artificial intelligence features to iPhones in China, according to a CNBC report. Earlier this week reports from The Information and The Wall Street Journal said Apple had submitted AI features developed with Alibaba to Chinese regulators for approval, a process that could take several months.

Shares of Apple rose 1.3% to close at $244.60 Friday and have added about a third of their value over the past 12 months.