Jefferies Trims Apple Target, Sees 17% Potential Downside

Investment firm Jefferies cast a shadow over Apple (AAPL) shares ahead of the trading session, lowering its price target and warning that the stock has 'more downside than upside.' The firm's analysis projects a potential 17% drop in share price, a significant bearish call on one of the world's most valuable companies.

The note to clients reflects growing concerns on Wall Street regarding Apple's near-term growth trajectory. This marks another revision in a series of cautious updates from the firm. Earlier in the month, , citing 'excessive expectations' for its flagship iPhone products and future foldable devices.

According to the initial alert, , signaling a lack of confidence in the tech giant's ability to outperform in the current market. This sentiment follows a pattern, as the firm had previously cut its target in January, where due to a slowdown in iPhone sales.

The repeated revisions underscore a persistent concern among some analysts that Apple may struggle to innovate at a pace that justifies its premium valuation. The focus of the downgrade appears centered on hardware sales, particularly the iPhone, which remains the primary revenue driver for the Cupertino-based company. Investors will be closely watching for any official company response or upcoming sales data to validate or counter the firm's bearish thesis. This move by a prominent Wall Street firm could increase pressure on Apple's stock and influence broader market sentiment toward the technology sector.