Live Chat

Apple Stock Photo

Apple shares fall after Piper Sandler becomes second investment bank to downgrade AAPL stock in 2024

Just four days into 2024, Apple shares have received their second downgrade of the year.

Piper Sandler analyst Harsh Kumar downgraded his rating on the tech giant from overweight to neutral, citing concerns about valuation and pressures in the smartphone market.

Kumar said he was worried about handset inventories in the first half of the year, predicting that growth rates for unit sales have peaked — a significant concern as iPhones make up about half of Apple’s revenue.

Despite posting growth in the iPhone market segment in the September quarter, sales for the category declined in two of the four quarters of Apple's latest fiscal year. Kumar also raised concerns about China's "deteriorating macro environment" impacting the handset business and noted potential distractions for investors with legal issues surrounding the Apple Watch and other areas.

With Apple shares trading at approximately 29 times forward earnings, above the five-year average multiple of around 24, Kumar lowered his price target from $220 to $205 in the latest report.

Choose your points of movement

Сalculate your hypothetical P/L (aggregated cost and charges) if you had opened a trade today.

Market

Currency Search
Currency
Index
Shares
ETFs
Bonds
Crypto
Commodity

Instrument

Search
Clear input
Occidental
Siemens
Morgan Stanley
GSX Techedu
Marston's
Alibaba
Skillz Inc
Macy's
Lemonade
Lululemon
Plug Power
Amazon.com
Verizon
Thermo Fisher
Mondelez
General Motors
LVMH
IAG
Cinemark
PETROCHINA
Royal Bank Canada
Anglo American
F5 Networks
Nikola Corporation
Zoom Video Communications
Air France-KLM
Comcast
UniCredit
The Cheesecake Factory
Barrick Gold
Bayer
Toro
Kuaishou
Gen Digital Inc
Tilray
Xiaomi
SMCI
Wish.com Inc
Adobe
DISNEY
Coinbase Inc
UiPath Inc
T-Mobile
Rio Tinto
Schlumberger
Invesco Mortgage
Hammerson
Volkswagen
Sartorius AG
ROBLOX Corp
ChargePoint Holdings Inc
UPS
Pinterest Inc
Continental
Jumia Technologies
Medtronic
PayPal
Twilio
Freeport McMoRan
UnitedHealth
SIG
Tesla
Lyft
Boeing Co
Annaly Capital
Santander
Teladoc
Li Auto
CrowdStrike Holdings
Deere
Fedex
Naspers
ProSiebenSat.1
Bilibili Inc
Costco
New Oriental
NVIDIA
Iberdrola
Gilead
American Express
Apple
Airbus
GoPro
Chevron
HSBC HK
Two Harbors Investment aration
easyJet
Inditex
BlackBerry
Anheuser-Busch Inbev
Deliveroo Holdings
Hubspot
Applied Materials
GameStop
British American Tobacco
Trade Desk
McDonald's
AMC Entertainment Holdings
Adidas
AIA
Bristol Myers
Novavax
TUI
Fresnillo
Shell plc (LSE)
Nasdaq
Ceconomy
Lithium Americas Corp
Rivian Automotive
Qorvo
MercadoLibre.com
Coca-Cola Co (NYSE)
HDFC Bank
Roku Inc
Infinera
Arista
Total
JnJ
Dave & Buster's
PG&E
ON Semiconductor
Diageo
XPeng Inc
ASML
Vodafone
Airbus Group SE
Campari
Telecom Italia
Glencore plc
HSBC
ZIM Integrated Shipping Services Ltd
Kraft Heinz
Spotify
Aurora Cannabis Inc
Etsy
Goldman Sachs
Norwegian Air Shuttle
Abbott
Snap
Linde PLC
Blackstone
Cellnex
Tencent
Barclays
Virgin Galactic
JP Morgan
Allianz
RTX Corp
Taiwan Semi
Wal-Mart Stores
Intel
DoorDash
Wayfair
SONY
II-VI
Norwegian Cruise Line
BioNTech
Palantir Technologies Inc
CNOOC
Cisco Systems
Electrolux
ALIBABA HK
Robinhood
Vonovia
British American Tobacco
SAP
Ford
Cameco
Peloton Interactive Inc.
Toyota
Amgen
AT&T
Infosys
Starbucks
Lloyds
Qualcomm
Canopy Growth
3D Systems
CarMax
LUCID
Eni
AMD
Target
IBM
FirstRand
Lumentum Holdings
Alphabet (Google)
Workday Inc
ASOS
Conoco Phillips
Moderna Inc
Trump Media & Technology Group
Fuelcell
MerckCo USA
Salesforce.com
Hermes
BASF
AstraZeneca
Christian Dior
Broadcom
Oracle
Vipshop
CCB (Asia)
Nio
Block
Uber
Accenture
Meta (Formerly Facebook)
Berkshire Hathaway
Wells Fargo
Blackrock
Rolls-Royce
Pfizer
Microsoft
Home Depot
Mastercard
Lufthansa
Marriott
AbbVie
China Life
Baidu
Eli Lilly
DeltaAir
Chipotle
BP
General Electric
eBay
Quanta Services
Netflix
Micron
Visa
Golar LNG
ADT
JD.com
American Airlines
Porsche AG
Palo Alto Networks
Teleperformance
Lockheed Martin
Upstart Holdings Inc
Delivery Hero SE
Airbnb Inc
Nel ASA
GoHealth
Shopify
Aptiv PLC
Bank of America
PepsiCo
Philip Morris
Exxon Mobil
Procter & Gamble
Beyond Meat
Snowflake
L'Oreal
Sea
Porsche
Deutsche Bank
Nike
Unilever
CAT
Prosus N.V.
Unity Software
Citigroup
Upwork Inc.
Vir Biotechnology

Account Type

Direction

Quantity

Amount must be equal or higher than

Amount should be less than

Amount should be a multiple of the minimum lots increment

USD Down
$-

Value

$-

Commission

$-

Spread

-

Leverage

-

Conversion Fee

$-

Required Margin

$-

Overnight Swaps

$-
Start Trading

Past performance is not a reliable indicator of future results.

All positions on instruments denominated in a currency that is different from your account currency, will be subject to a conversion fee at the position exit as well.

Apple stock downgrade: Piper Sandler follows Barclays in lowering share price target

This downgrade follows one from Barclays analyst Tim Long on Tuesday, who shifted to an underweight rating from a prior rating of neutral. Apple shares were down 0.7% at $180.60 in premarket trading Thursday after declines in the previous three full trading days.

The Apple share price is now down over 5.5% year-to-date, after growing by over 40% over the past year.

Kumar also downgraded shares of Microchip Technology (down 1.38% at the time of writing), Macom Technology Solutions Holdings (-3.46%), Qorvo Inc. (-2.55%), Skyworks Solutions (-1.89%,) and Akoustis Technologies (-2.74%) to neutral from overweight, reflecting his concerns about the smartphone market.

However, Kumar took a positive stance on shares of Micron Technology Inc. (+0.55%), citing potential for accelerated pricing benefits. He noted that South Korean rivals cutting production should help rebalance industry supply and demand. Micron’s stock was up about 1% in Thursday’s premarket action as Kumar upgraded his rating to overweight from neutral, with a raised price target of $95 from $70.

Apple share price forecasts: Majority of analysts remain bullish on AAPL

According to 31 analysts surveyed by TipRanks that offered 12-month Apple share price targets, the consensus forecast for AAPL shares last stood at $202.50 — a potential 11.32% upside from its current price as of January 5, 2024.

The highest listed Apple share price forecast on the platform was $250.00, while the lowest was listed at $150.00. Of the 31 analysts surveyed, 22 offered a Buy rating on APPL stock, while 8 had it as a Hold, and one gave it a Sell rating.

When considering shares for trading and price predictions, remember that trading CFDs involves a significant degree of risk and could result in capital loss.

Past performance is not indicative of any future results. This information is provided for informative purposes only and should not be construed to be investment advice.

Latest news

Eurozone inflation

Saturday, 23 November 2024

Indices

Week ahead: Eurozone inflation likely to confirm ECB December cut

Thursday, 21 November 2024

Indices

Asian Market Update: Hang Seng Index Falls on Baidu Slumps

Thursday, 21 November 2024

Indices

Stock Market Today: Dow and S&P 500 Post Gains Ahead of Nvidia Earnings

Thursday, 21 November 2024

Indices

Super Micro Stock Surges on Decision to Maintain Nasdaq Listing

Live Chat