Jefferies cuts Apple price target to $405 on trimmed iPhone production estimates

“Jefferies is adjusting some of its estimates on Apple sales for the upcoming quarter,” StreetInsider reports. “The firm maintains Apple at Hold, lowering its price target from $420 to $405.”

“Analyst Peter Misek is trimming fiscal Q313 iPhone shipment expectations from 30 million down to 27 million units and fiscal Q413 units from 50 million down to 45 million,” StreetInsider reports. “Assembly on the new iPhone hasn’t started yet, Misek said, but its most likely to begin very soon. He comments, ‘”Trial production and tape-outs are most likely occurring now. We believe the iPhone 5S and low-cost iPhone will most likely launch in Sep and that pushouts are more likely than pull-ins. We still expect an iPad Mini retina in CQ4.'”

StreetInsider reports. “Upgrading to iOS 7 on the iPhone 4 and iPhone 4S will be possible, Misek notes a poor experience due to the operating system putting too much stress on the processor. He thinks iOS 7 might be an attempt by Apple to spur upgrades.”

Read more in the full article here.

Related article:
BMO ups Apple price target to $450 on new pay structure for top execs – June 24, 2013


    1. I’d be careful. AAPL should be in the $300 plus range by the end of the day. If not sooner. We’re almost at the end of the month/quarter. Earnings report will be in about three weeks. It was already projected to be disappointing and could be even worse than predicted. I doubt that this is the time to be putting money into AAPL. Peter Misek is simply reporting what he knows. He’s neither a bear nor a bull. Reality is sometimes negative. That doesn’t mean that it’s a manipulated situation. And as for the second half of the year for AAPL it’s anyone’s guess. The iPhone 5S and cheaper iPhone should come in September. That’s certainly nothing new. It has been written about for a long time. Same goes for a refreshed iPad Mini and full size iPAD around this same time. These are already baked into the price so they are not going to move the needle much. Even though they will will do extremely well and be profitable. Apple needs to pull something out of the hat this fall. AAPL is one of hundreds of stocks. It’s okay to put your investment money in something besides the company that makes the best hardware and software. AAPL, barring some revolutionary unexpected product out of left field, is a value stock going forward. As much as I love my Apple stuff it’s not where I’m going to invest at this point. There’s just too many places for my money. Never fall in love with a stock. Never fall in love with an investment. It’s not some badge of courage to keep plowing money into a losing proposition. It’s your money. Don’t be foolish.

      1. What I said is already priced in and already coming to end . Stocks are sth about future .

        iPhone 5s and iPhone 4S are nothing new BUT it is very profitable as margin profit improved . Any sign that shows Aapl profit margin improved will make aapl rally like hell . Plus china mobile deal is confirmed and the new revolutionary device coming in fall , there is no doubt AAPL WILL RISE LIKE HELL .

        1. China Mobile deal is confirmed? A new revolutionary product is coming in the fall? Dunno bout that. Can you explain further please? AAPL could certainly use something. $398 and dropping. Nearly 4%.

            1. Hate to say it, but I’m glad I haven’t been following this advice the last half a year. I should’ve gotten off when it started coming down and I was still ahead. Now it’s fallen way too much to get back to my buy-in price in any reasonable timeframe, if ever.

              I have faith in Apple. I don’t have faith in other traders, analysts, or wall street, who act on emotion rather than facts.

            2. You made a conscious decision to buy AAPL. You made a conscious decision not to sell AAPL at a profit. Probably a pretty decent profit. So you can’t blame others for your failure to sell. Nine months is a long time to watch your money go down. Next time you’ll do better. Or you’ll freeze in the headlights like a deer and it will be déjà vu all over again. You are responsible for your actions in life. Investing is one of the most important decisions an adult makes in life.

            3. I also made a conscious decision to ignore the “it’s down, buy more now!” advice I see parroted here and elsewhere.

              I’m not blaming anyone for my decision not to sell, I’m saying a lot of them decide mostly by emotion not facts. Many MDN posters are just as guilty of this when it comes to AAPL.

          1. Nearly 4% ? It is a great chance to buy . I buy stocks which other people hate .
            I mean china mobile deal will be confirmed will be am excuse to rally AAPL.

            1. mmmmmm yes it will help the stock if it happens. How much is unknown. And it doesn’t count until it happens. And it hasn’t happened yet. And a 4% drop in any stock doesn’t mean that it’s a good time to buy. That’s guessing.

            2. There are no guarantees in investing. Unless you want to buy a CD or T-bills. People have piled into AAPL over the last five years and have made very good profits. But nothing goes up forever (see last nine months in AAPL), nothing. Anyone who has invested for any length of time understands this. They learned to take their profit off the table when they’re comfortably ahead. Making a profit is why you invest in the first place! Right? There’s always a time to reenter at a better price with your profit in the bank. Those who are greedy think that they can stay in forever and never suffer a loss. Ooooops! That has never worked. For any stock. And why are so many here so desperate to put their money, or more money, in AAPL rather than other stocks? What is with the death wish? There are hundreds and hundreds of stocks out there to invest in. Afraid that a fanboy is going to look over your shoulder and yell at you because you invested in something besides AAPL? Afraid to post a negative comment on MDN about AAPL because a fanboy is going to scream at you? Afraid of being kicked out of the fanboy club? Afraid of being called a traitor? It’s insane! And sad. But in life it’s always easier to blame others for your own mistakes. “It’s Wall Street’s fault that I didn’t sell AAPL when I was way ahead”. For over nine straight months! Until you see positive news in AAPL, consistent positive news, it’s dangerous territory. And even then it won’t be the AAPL of old. It may have short bursts up but not likely to be sustainable. It pays a good dividend and should be somewhat of a value play going forward. But there are many less volatile companies in which you can invest your money. Apple is a great company. They make the best stuff. But it doesn’t mean that you have to invest in AAPL. You worked hard to earn that money why lose it all needlessly? Think.

  1. Doesn’t it make sense to reduce production as you approach a new release and expect people to postpone their new phone purchase until the new one comes out?

    1. There wasn’t anything even remotely smelling of innovation in iOS 7.

      Just copying others old stuff, even the HIDIOUS look of Android.

      They have lost the edge as the leader of technology.

      I have no idea what Apple is doing with all that money.

      Apple is is deep trouble. You will see the stock go down to 200 over the next months.

      1. Nah. That won’t happen. But sub $400? Yes. The next week or so should be a good time to pick some stocks that are inexpensive. I’d hold off on AAPL though. If something comes along to make the stock move up quickly you will still be able to get in. Remember, you don’t have to get into the first or last 10% of a stock.

      2. FYI…

        They copied the look of Metro… Not the one of Android.
        They “only” copied the functionality of Android and this is good.

        What they copied was really missing and improved a lot user experience… There are still other things that should be done and that we wont see before a long long time… But if you want people have again the WOW factor with an Apple device (Except on MDN), it’s the way to go.

        THIS is what could again make AAPL stocks go up… It’s all about perceived value. That was the strength of S.J.. He was a real P.R god.

  2. I am really feeling so sad as an Appleshareholder. Stocks which are low profit like amazon can rise like hell In the rally.
    When stocks rise to 52 weeks high , Aapl drops like hell . Ok . When other stocks are dropping , Aapl also drops ? Come on , why punish aapl when it hasnt even benefited a bit from the rally!!!

    Fuck you assholes mr. Market !

    1. Then don’t put your money in AAPL. You can’t fight the tape. You can’t fight sentiment. It doesn’t matter if you and I and others like Apple the company, AAPL is not where people are investing their money. It’s been going down for over nine straight months. 9 months! That my friend is a long time! It’s investing. Getting mad and shouting at the world doesn’t do a thing. You have to put your money where it will grow. Complaining about Wall Street and claiming conspiracy theories doesn’t do a thing for your money. AAPL has gone down for over nine straight months. If you invested in Costco and it continued to go down for over nine straight months would you keep investing in it and complaining? Hell no! You would have quit investing in it long, long, long ago. But you would have still shopped at Costco. You would still love going to Costco because it’s a great company. And a great experience. But you wouldn’t just keep pouring good money after bad. Same goes for AAPL. Just because you love everything that Apple makes because it’s the best, has nothing to do with putting your money in AAPL if its in a nosedive. I see so many people here who keep complaining as though that’s going to make things better! It does nothing. Complaining does nothing. Many of these people failed to get out of AAPL when they should have. Now they’re mad at the world because they’re so far underwater. That hurts. I know because I’ve been there. Many years ago. When the tech stocks crashed in 2000. But I realized that that was my fault, not Wall Street. I failed to take my profit when I should have. Profit, it’s why you invest in the first place. There’s one thing for sure, although few will admit it, if AAPL ever gets up to where they are at the break even point the people underwater now will get out. As they wish they had last September. Investing in the stock market is not like putting money in a passbook savings account. AAPL and all other equities are not something that you buy and hold forever. Investors have to learn to manage their money logically. Blaming everyone and everything is not logical. Buying and holding forever is not a plan. But that’s pretty obvious now. There are hundreds and hundreds of other stocks to invest in. Don’t get mad and hold your breath. AAPL : $400.89.

  3. Stay neutral guys, don’t rock the boat while it’s turbulent, hold on tight take a deep breaths, while waiting for for AAPL goes back up, collect dividends.

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