Simply Yes! Apple encourages its users to reset a stolen iPhone using iTunes and will install the latest version of iOS. So, to reset your iPhone, first of all, create a backup and do the following steps to reset a stolen iPhone: Step 1: Go to Settings and tap on iCloud. Step 2: Tap Find My iPhone and turn off the feature. Step 3: Go to Settings and tap on General. Step 4: Scroll down and tap on Reset. Step 5: Tap on Erase All Content and Settings.