From Nasdaq: 2025-01-27 08:45:00

The NASDAQ index, a technology stocks proxy, is up 3% for the year, highlighting Apple Inc.’s concerning 10% decline. Analyst sentiment on Apple varies, with Bank of America and Wedbush reiterating Buy ratings, setting price targets at $253 and $325 respectively. Apple’s earnings report on January 30 is awaited with intrigue.

Analysts express concerns over soft iPhone sales in China, attributing it to increasing competition at premium price points. Despite negative sentiment, some believe the sentiment is overdone, while acknowledging potential softer sales in China. Apple’s launch of its first iPhone with AI capabilities will be closely watched.

Apple’s revenue heavily relies on the iPhone, but its Services division, generating $24 billion in the last fiscal quarter, is becoming a significant revenue contributor. Services and Wearables combined account for nearly $32 billion, showcasing Apple’s diversified revenue streams. The company’s ability to innovate beyond the iPhone is a key concern for analysts.

AAPL stock, trading at $222 per share as of January 24, is down 10% from the start of the year, nearing a crucial support level. A break below this support could lead to further declines to $206 or $193. However, oversold levels indicated by the RSI suggest a potential bounce if earnings beat estimates, with options activity pointing towards a push to $250.



Read more at Nasdaq:: How Mixed Analyst Opinions Are Shaping Apple Stock’s Outlook