Barclays downgrades Apple stock rating

“Apple Inc. (AAPL) was downgraded by Barclays from an Overweight to Equalweight rating on Feb 20 and had maintained its price target at $570,” Athena Yenko reports for International Business Times.

“Ben Reitzes, analyst at Barclays, said that Apple’s iWatch and HDTV’s were not going to be catalyst for the stock to overcome its unimpressive performance at present or over the next year or so. He said that these products were not ‘revolutionary’ and will not boost Apple Inc.’s shares anytime soon,” Yenko reports. “‘Frankly, we just couldn’t quite bring ourselves to use smart watches or TVs as reasons to raise numbers – nor were we fully convinced that these products could move the needle like new categories did in the old days,’ Reitzes wrote on an investors’ note on Thursday.”

Yenko reports, “Reitzes was admittedly an iPhone user and very excited about Apple’s product offerings in the future – mobile payments, geolocation and wearable devices. However, in an investor’s point of view, he said that he did not believe that there can still be innovative products like the iPhone or iPad that Apple can come up in the future.”

Read more in the full article here.

MacDailyNews Take: We believe that Apple’s iWatch and iTV will be revolutionary and each will reduce the world to slack-jawed shock and awe, boost Apple’s numbers into the stratosphere, move all kinds of needles, and blahtie frickin blah.

Our flow of bullshit emanates from the orifice below the same unicorn’s nonexistent crystal balls as Ben Reitzes’ and is equally as valid – if not more valid (since we actually understand how Apple works) – than his.

iCal’ed for future use.


    1. Yup, certainly the last asshole standing. Anyone who believes anything that comes from a company that was recently exposed as having sold customers private details to shares dealers is clearly a fuckwit.
      Somewhere near you, a village is missing its idiot.

  1. Very clueless. He sees no growth due to anything new at Apple and can’t see and value in the huge China Mobile market that is not in any of Apple’s quarters yet. It is bigger than AT&T, Verizon and Sprint together. And no Halos in the China Mobile customers.

    If a food chain was expanding across the USA or into Europe, the stock goes up due to FUTURE sales in a location they were not in. This is the basic stuff. So, hold the stock value. Apple keeps building billion dollar server farms. Why? Any you don’t know about yet? Ok, $570. You should sell now. Apple is doomed!

  2. Probably a sign of the market trying to push the stock down. One analyst downgrades, then another to build downside momentum.
    We’ve seen this year in year out.
    Basically what not revolutionary is the markets myopic focus on growth based on hype. Apple don’t do that until they release a product and then the market are always slow to react.

    1. There were 4 articles on major news services yesterday, all of which compared Apple to Microsoft. Some even asking “Is Apple the new Microsoft?” I’m sure that common use of phraseology was just coincidence./s

      Max Pain for AAPL today is around $530, with $1.2B in monthly options in play. It’s no coincidence either that we’re sitting at $530 instead of $550 like we were a week ago.

  3. Screw this asshole. Ben’s track record sucks – # 34 of 57 in 3Q13, and did not even have the balls to submit in 1Q14. Barclays? What? It will be great to see all these clowns have to wipe the crap off their faces when they pull their heads out of their respective arses…

  4. Reitze seems to have the singular focus that innovative products & services are about selling devices. I think that won’t be the case. Mobile payments may sell more iPhones, but I would also expect it to bring in a service revenue of its own which would be more significant. Similarly, it’s a matter of time before the iphone/ipad (via iTV) function as a game controller in direct competition to Xbox. Again, they may sell more devices, but the real revenue is from the 30% they’ll take on all the games that get downloaded.

    Reitze also ignores the fact that even if Apple is now another Microsoft (and I don’t agree with that), MSFT still trades at 13 X forward earnings to Apple’s 11.5. Adjusting Apple’s price to parallel MSFT alone would take the price to $600.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.