UBS analysts have cut their Apple price target from $335 to $290 as they expect iPhone unit sales to drop 16% this year.
Apple does not report iPhone unit sales.
UBS’ supply chain checks show weak iPhone demand in China for Apple’s fiscal second quarter, noting that Apple’s worldwide retail store closures outside of Greater China will be a headwind, of course.
Despite cutting their Apple price target, UBS maintains a Buy rating on Apple, advising clients that the recent AAPL sell-off has created a buying opportunity.
MacDailyNews Take: Apple’s cash-rich coffers are a testament to AAPL’s surprising strength. Apple may want to rethink their goal of becoming cash neutral over time in the wake of this pandemic as having a mountain of cash has, so far, proven to be quite beneficial amidst the black swam of the COVID-19 pandemic.