Apple Stock Slapped With Another Sell Rating: What to Know
The latest Apple stock downgrade centers around iPhone sales and the weakening consumer electronics market. Here's what investors need to know.


Apple (AAPL) is the worst Dow Jones stock Tuesday after financial services firm Jefferies downgraded the tech giant to Underperform (equivalent to a Sell) from Hold and lowered its price target to $200.75 from $211.84.
Apple stock returned more than 30% in 2024, but Jefferies analyst Edison Lee is concerned that "weak demand for the iPhone has materialized," while other products, such as the iPad and MacBook, may also disappoint due to a "weak" consumer electronic market.
"We expect AAPL to miss its revenue growth guidance of 5% for the first quarter of fiscal 2025 and guide to only low single-digit revenue growth in the second quarter of fiscal 2025, also below consensus," Lee says.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
The company's artificial intelligence (AI) outlook is "subdued" and industry checks suggest Apple's "advanced packaging roadmap for iPhone may face a delay is another negative sign," Lee adds.
The new price target of $200.75 implies downside of more than 9% to current levels.
Most of Wall Street still rates Apple a Buy
The majority of Wall Street remains bullish toward the tech stock, suggesting investors shouldn't be too worried about Jefferies' downgrade of the mega cap.
According to S&P Global Market Intelligence, the average analyst target price for AAPL stock is $246.14, representing implied upside of about 11% from current levels.
Additionally, of the 46 analysts covering the blue chip stock tracked by S&P Global Market Intelligence, 23 have it at Strong Buy, eight call it a Buy, 11 say it's a Hold, and just four call it a Sell or Strong Sell. This works out to a consensus recommendation of Buy and with strong conviction.
Financial services firm CFRA Research is one of the more bullish outfits on AAPL stock with a Buy rating and a $260 price target.
"We still like the AAPL story given its aging installed base and broadening AI features and geographic availability that will support upgrades (we expect China partnership announcements soon), potential higher prices, higher Services revenue, a strong pipeline not reflected in estimates, and margin upside being underestimated," wrote CFRA Research analyst Angelo Zino in a January 16 note.
However, the analyst warned of "muted China demand" and "recent forex moves" as creating possible "downside risk to consensus estimates."
Related Content
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.
-
Stock Market Today: Solid Signals Lift Stocks Despite Tariff Noise
Markets are whistling over the White House in an ongoing display of corporate America's enduring ability to survive and advance.
-
Amtrak Joins Prime Day With Deals on Fares — But You’ll Have to Act Fast
Prime members can score 20% off midweek fares — what travelers should know before booking.
-
Stock Market Today: Solid Signals Lift Stocks Despite Tariff Noise
Markets are whistling over the White House in an ongoing display of corporate America's enduring ability to survive and advance.
-
Dividend Increases: 7 Stocks With Rising Payouts
While dividend growth has been slowing, certain stocks have raised their dividend payouts. These are some selections.
-
Key to Financial Peace of Mind: Think 'What's Next?' Rather Than 'What If?'
Even if you've hit your magic number for retirement, it's hard to stop worrying about money. Giving it a clear purpose is one way to reduce financial anxiety.
-
Three Estate Planning Documents a Business Owner Can't Afford to Skip
A business owner's estate plan should protect the company and its employees as well as the entrepreneur's heirs. These three documents are critical.
-
Stock Market Today: Trump's Copper Comments Cause a Stir
Markets remain resilient and monetary policy makers stand fast against a rising tide of new terms of trade, including around copper.
-
Opportunity Zones: An Expert Guide to the Changes in the One Big Beautiful Bill
The law makes opportunity zones permanent, creates enhanced tax benefits for rural investments and opens up new strategies for investors to combine community development with significant tax advantages.
-
Five Ways Retirees Can Keep Perspective Through Market Jitters
Market volatility is a recurring event with historical precedents (the dot-com bubble, global financial crisis and pandemic), each followed by recovery. Here's how people who are near or in retirement can navigate economic uncertainty.
-
Stock Market Today: Trump Reextends His Tariff Deadline
When it comes to this president, his trade war, the economy, financial markets and uncertainty, "known unknowns" are better than "unknown unknowns."