Apple (NASDAQ:AAPL) Downgraded to “Hold” Rating by DZ Bank

Apple (NASDAQ:AAPL) was downgraded by equities research analysts at DZ Bank from a “buy” rating to a “hold” rating in a research note issued on Tuesday, Marketbeat Ratings reports. They presently have a $310.00 price target on the iPhone maker’s stock. DZ Bank’s target price indicates a potential upside of 2.17% from the stock’s current price.

A number of other equities analysts also recently commented on the company. Rosenblatt Securities lifted their price objective on Apple from $276.00 to $300.00 and gave the stock a “neutral” rating in a research report on Friday. KGI Securities cut Apple from an “outperform” rating to a “hold” rating and set a $315.00 target price for the company. in a report on Monday, June 22nd. Barclays reaffirmed an “underweight” rating and issued a $245.00 target price (down from $253.00) on shares of Apple in a research note on Friday. DA Davidson reiterated a “neutral” rating and set a $270.00 price target on shares of Apple in a report on Friday. Finally, UBS Group reissued a “neutral” rating on shares of Apple in a research report on Friday. One analyst has rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, eleven have assigned a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $330.44.

Apple Stock Down 1.8%

AAPL stock opened at $303.42 on Tuesday. The company has a market cap of $4.46 trillion, a price-to-earnings ratio of 34.80, a PEG ratio of 2.65 and a beta of 1.09. The company has a current ratio of 1.00, a quick ratio of 0.93 and a debt-to-equity ratio of 0.66. Apple has a 12 month low of $201.68 and a 12 month high of $344.57. The firm has a 50-day moving average of $309.40 and a two-hundred day moving average of $281.90.

Apple (NASDAQ:AAPL) last issued its earnings results on Thursday, July 30th. The iPhone maker reported $2.02 earnings per share for the quarter, topping the consensus estimate of $1.89 by $0.13. The business had revenue of $109.42 billion for the quarter, compared to analysts’ expectations of $109.04 billion. Apple had a return on equity of 135.46% and a net margin of 27.62%.The business’s revenue for the quarter was up 16.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.57 EPS. As a group, analysts forecast that Apple will post 8.8 earnings per share for the current fiscal year.

Insider Transactions at Apple

In other Apple news, insider Ben Borders sold 116 shares of Apple stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $295.14, for a total value of $34,236.24. Following the sale, the insider owned 38,713 shares in the company, valued at $11,425,754.82. The trade was a 0.30% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 0.06% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Apple

A number of hedge funds have recently modified their holdings of the business. First National Bank of Hutchinson grew its stake in shares of Apple by 24.6% in the fourth quarter. First National Bank of Hutchinson now owns 35,319 shares of the iPhone maker’s stock valued at $8,845,000 after buying an additional 6,982 shares in the last quarter. Eagle Capital Management LLC lifted its stake in Apple by 0.5% during the 4th quarter. Eagle Capital Management LLC now owns 54,085 shares of the iPhone maker’s stock worth $13,544,000 after acquiring an additional 272 shares in the last quarter. Brighton Jones LLC boosted its holdings in Apple by 14.8% during the 4th quarter. Brighton Jones LLC now owns 537,314 shares of the iPhone maker’s stock valued at $134,554,000 after acquiring an additional 69,207 shares during the period. Revolve Wealth Partners LLC grew its position in Apple by 4.2% in the 4th quarter. Revolve Wealth Partners LLC now owns 66,857 shares of the iPhone maker’s stock valued at $16,742,000 after acquiring an additional 2,695 shares in the last quarter. Finally, Highview Capital Management LLC DE grew its position in Apple by 2.4% in the 4th quarter. Highview Capital Management LLC DE now owns 50,264 shares of the iPhone maker’s stock valued at $12,587,000 after acquiring an additional 1,155 shares in the last quarter. 67.73% of the stock is currently owned by hedge funds and other institutional investors.

More Apple News

Here are the key news stories impacting Apple this week:

• Positive Sentiment: Strong operating performance: Apple reported quarterly earnings of $2.02 per share versus the $1.89 consensus estimate, while revenue reached $109.42 billion, up 16.4% year over year. Strong iPhone demand, Services growth and robust free cash flow support the long-term investment case. Apple Delivers Strong Free Cash Flow
• Positive Sentiment: India manufacturing incentives: India proposed extending tax exemptions through 2041 for foreign companies supplying equipment to contract manufacturers. The measure could reduce production costs and support Apple’s effort to diversify iPhone manufacturing away from China. India Proposes Tax Breaks
• Positive Sentiment: Shareholder return and ecosystem developments: Apple is scheduled to pay its quarterly dividend on August 13. Apple also restored Telegram to the App Store after the messaging service removed content violating child-safety rules, limiting disruption to App Store activity. Apple Dividend Payment
• Neutral Sentiment: Analyst views are mixed: Brokerages continue to describe Apple as a Moderate Buy overall, but Phillip Securities downgraded the shares to Moderate Sell and several firms reduced price targets. The divergence reflects uncertainty over whether the recent rally has already priced in much of Apple’s growth.
• Neutral Sentiment: Leadership transition: Coverage continues to focus on Tim Cook’s departure and incoming CEO John Ternus. Cook leaves after a highly profitable period, but investors are weighing whether the next leadership team can sustain innovation and growth.
• Negative Sentiment: Guidance and memory shortages: Tight supplies of memory and other components are expected to raise costs during the September quarter and have contributed to cautious guidance. Shortages are also affecting MacBook availability, creating potential margin and sales headwinds. Apple Memory Chip Challenges
• Negative Sentiment: AI concerns: Investors increasingly question whether Apple has a visible AI growth engine. Delays to enhanced Siri features in Europe and China, combined with Apple’s comparatively restrained AI spending, have raised concerns that the company may bear higher component costs without capturing enough AI-related revenue.
• Negative Sentiment: Legal risks are mounting: Apple sought a preliminary injunction against OpenAI in a trade-secrets case, while OpenAI disputed Apple’s claims. Apple also launched a legal challenge to U.K. demands for access to encrypted user data. The disputes may increase regulatory, legal and reputational risk. Apple OpenAI Trade Secrets Case
• Negative Sentiment: Valuation leaves little room for disappointment: With a P/E ratio near 35 and shares up more than 50% over the past year, investors appear less willing to overlook cautious guidance or slower AI progress. This expectation reset is the primary reason the stock has decreased despite the earnings beat.

Apple Company Profile

Apple Inc (NASDAQ: AAPL) is a multinational technology company headquartered in Cupertino, California, founded in 1976 by Steve Jobs, Steve Wozniak and Ronald Wayne. The company designs, develops and sells consumer electronics, software and services. Over its history Apple has evolved from personal computers to a broad portfolio that spans mobile devices, wearables, home entertainment and digital services.

Apple’s principal hardware products include the iPhone smartphone, iPad tablet, Mac personal computers, Apple Watch wearable devices and a range of accessories such as AirPods and HomePod.