Apple Stock Faces Downgrades Amid Weak iPhone Sales in China

Published 16 hours agoAAPL

Apple Stock Faces Downgrades Amid Weak iPhone Sales in China

Apple is grappling with challenging market conditions, evidenced by recent analyst downgrades. The tech giant has seen a significant decline in iPhone shipments, particularly in China, where sales dropped about 18.2% year-over-year in the December quarter. This downturn has raised concerns about the company's market performance and its ability to meet future earnings expectations.

Supporting these market anxieties, investment firms have not been shy to act. Notably, Jefferies has downgraded Apple from 'Hold' to 'Underperform,' setting a revised price target at $200.75, as cited by Gurufocus. Similarly, Loop Capital has adjusted its rating to 'Hold' from 'Buy,' driven by fears of reduced iPhone demand in the coming months. These pessimistic views come amid growing worries about Apple's slower adoption of AI features, which could negatively impact future generation products.

Adding to the pressure, Apple's stock performance has seen better days. It recently closed at $221.11, culminating in an 11% decline through January 2025, marking Apple's steepest monthly drop since the end of 2022. With these factors at play, investors are advised to closely watch Apple's market adaptations and strategic responses.

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