Wall Street analysts slash Apple target prices

“Most analysts have dramatically cut their AAPL target prices in response to what one of them described as ‘Apple’s darkest day’ in the iPhone era,” Ben Lovejoy reports for 9to5Mac. “Wedbush analyst Daniel Ives used the description. ‘The magnitude of the top-line miss (~8%) with China demand the culprit was jaw dropping in our opinion and will heavily weigh on shares accordingly. Although the company had some quarters over the past 20 years that missed Street expectations, in the modern iPhone era last night was clearly Apple’s darkest day in our opinion and represents a challenging growth period ahead for the company.'”

Wedbush lowered its target from $275 to $200 – and as Business Insider reports, it was far from alone.

• Goldman Sachs: from $182 to $140
• Citi: from $200 to $170
• BMO: from $213 to $153
• Bank of America Merrill Lynch: from $220 to $195
• Nomura: from $185 to $175
• Wells Fargo: from $210 to $160
• Morgan Stanley: from $236 to $211

Read more in the full article here.

MacDailyNews Take: $140 – $211: All over the map. It’ll take a bit longer for the shock to wear off and for the Wall Street lemmings to flock more closely together. Ah, the thrilling anticipation.

We are looking forward to more palatable iPhone prices from Apple, though!

SEE ALSO:
Advisor to President Trump: Apple’s sales should pick up when U.S.-China strike trade deal – January 3, 2019
Two things Tim Cook just did that make Apple look guilty today – January 3, 2019
CEO Cook issues memo to employees after Apple slashes revenue outlook for the first time in almost two decades – January 3, 2019
Apple’s earnings warning means CEO Tim Cook now has a major credibility problem – January 3, 2019
Loup Ventures: We continue to expect AAPL to outperform the rest of FAANG in 2019 – January 3, 2019
Open thread: Does Apple need new leadership? – January 2, 2019
CEO Tim Cook on why Apple lowered first-quarter revenue forecasts – January 2, 2019
Apple CEO Tim Cook issues public letter to investors, lowers guidance – January 2, 2019

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7 Comments

  1. As I told before, Apple product prices are pornographically high when compared to similar quality level from other brands.
    I own an iPhone 7 Plus that, at the time, was top model and cost about 1070 euros (i’m in the EU). Now, to get a top iPhone it costs 1679 Euros. I own a 2015 MacBook pro with everything in the maximum at the time. It costed about 4000 Euros. Now, to get a Macbook pro 15 with the top specs (and only 1TB of SSD, such as the one I have) you need to spend 5122 Euros. I like to be milked by apple to be able to use top products but with these prices, I’ll surely increase their lifespan. Fans are loyal but are not stupid. Try to narrow the margins and see if products sell.

  2. Again.. why is this bring overlookd do convenisntly.

    1-Most of the problem is directly relsyed to china and its economy.

    2- even at revised level.. 84 billion revenue is the 2nd largest quarterly revenue for Apple ever!

    3- quote ““While we are disappointed to be falling short of our quarterly revenue goal, our fiscal first quarter was also a record setter for revenue from Services, Wearables and the Mac. iPad revenue grew double-digits over the year-ago quarter, and iPhone activations in the U.S. and Canada set new Christmas Day records. We expect to set all-time revenue records in key markets including the US, Canada and Mexico, Western European countries including Germany and Italy, and countries across the Asia-Pacific region like Korea and Vietnam. Our worldwide installed base of active devices also hit a new all-time high, reflecting the loyalty of our customers and their appreciation for the work you do.”

    1. Pardon the typos !

      Again.. why is this being overlooked so conveniently.

      1-Most of the problem is directly related to China and its economy.

      2- even at revised level.. 84 billion revenue is the 2nd largest quarterly revenue for Apple ever!

      3- quote ““While we are disappointed to be falling short of our quarterly revenue goal, our fiscal first quarter was also a record setter for revenue from Services, Wearables and the Mac. iPad revenue grew double-digits over the year-ago quarter, and iPhone activations in the U.S. and Canada set new Christmas Day records. We expect to set all-time revenue records in key markets including the US, Canada and Mexico, Western European countries including Germany and Italy, and countries across the Asia-Pacific region like Korea and Vietnam. Our worldwide installed base of active devices also hit a new all-time high, reflecting the loyalty of our customers and their appreciation for the work you do.”

  3. 1-The biggest problem at Apple is Angela Ahrendts and the BS Burburry culture/image she brought with her and probably had great sucess influcing the managemnet with.
    Apple should be high-end, for masses.. not luxury for few.

    2 Ives is good but overated.. and he is pushing unnecessary idiosyncratic esthetic obsessions way over function.. the balance is off !

    3- Eddy Cue. Mr Convolution … !

    Tim , clean up the bs.

  4. I was savaged here for saying this last year, but Apple should be trading in the $110-120 at best until they can show a way forward not mostly dependent upon selling very expensive cell phones.

    Another 30 bucks and you might think about buying some. I am not buying stock in a wannabe movie studio with a pretend radio station and a truckload of debt.

  5. Interesting take on the iPhone price level. If customers (especially those in Asia) are balking at paying the premium pricing, then Apple will need to look at their margins.
    I am also wondering if Chinese customers are being patriotic and holding off on buying US products. It could also be that Huewei have been able to make significant inroads with the high end demand in their home market.

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