Shares of Apple Takes A Down Fall Of 2%

Apple has immediately become probably the most polarizing stocks on Wall Street. Shares of Apple fell more than 2% Monday after an analyst at Rosenblatt Securities downgraded the iPhone maker’s stock to a “sell.”

Three analysts now rate Apple’s shares a “sell,” in keeping with data from Refinitiv. Another 18 analysts have Apple (AAPL) rated a “hold” — which many on Wall Street view as essentially the same factor as a sell. And 23 analysts think Apple is a “buy.”

Right now, the Apple bulls nonetheless seem to have the upper hand. The stock is up more than 25% this year, making it among the best performers within the Dow so far in 2019.

However, Jun Zhang, the Rosenblatt analyst who downgraded Apple on Monday, paints a pretty bleak image for Apple for the rest of the year.

“We consider new iPhone sales might be disappointing, iPad sales development will slow within the second half of 2019 [and] other product sales growth, such because the HomePod, AirPod, and iWatch, may not be meaningful to support total income growth,” Zhang wrote in a report Monday.

Zhang mentioned the iPhone XS might wind up being “one of many worst-selling iPhone models within the history of Apple.”

And though service sales growth has been strong for several quarters thanks to Apple Music and Apple News, he believes that development will start to slow.

It is notable that Zhang — whose official title at Rosenblatt is China analyst covering tech, media, and telecom — didn’t cite any specific concerns about Apple sales in China. Apple’s warning on that market stunned investors earlier this year.

Edison Carroll

Edison Carroll

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