Apple Inc. (AAPL) saw a notable decline in its stock price as investment firms Jefferies and JPMorgan Chase issued downgrades on the technology giant. Jefferies reduced its rating for Apple’s shares from ‘Hold’ to ‘Underperform’ on Monday, citing concerns regarding slowing demand for the iPhone 15 and a constrained outlook on sales growth. In addition, Jefferies lowered its price target from $200 to $175, reflecting a decreased valuation of approximately 13%. Meanwhile, JPMorgan also revised its price target for Apple, bringing it down from $190 to $165, aligning with Jefferies’ pessimistic stance. As a result, Apple’s stock dropped by 2% during the trading day, extending its year-to-date decline to around 16%. Analysts have expressed concerns specifically about the lack of innovation in Apple’s recent product releases, with Jefferies stating, ‘We believe that the best days of the iPhone franchise are behind it.’ This sentiment is echoed by other market observers, who point to increased competition in the smartphone market as further detracting from Apple’s sales momentum. The downgrades come at a pivotal time, as Apple is preparing for a new product introduction event in the fall, which traditionally serves as a catalyst for stock performance. Investors will be closely monitoring the upcoming announcements to gauge whether they can reignite excitement around the brand.
