From Financial Modeling Prep: 2025-04-03 13:19:00

Raymond James warns that potential reciprocal tariffs could impact Apple’s earnings in 2025. With over 90% of hardware produced overseas, including in China and India, U.S. tariff policies could lead to steep import duties. Analysts estimate a 25% hit to earnings per share in 2025 if tariffs go into effect on January 1.

The Americas accounted for 43% of Apple’s fiscal 2024 revenue, with U.S. sales representing a quarter. If no exemptions are granted, Apple may raise U.S. product prices by 30% to offset tariff-related margin squeeze. However, this could dampen domestic demand and lead to retaliatory trade responses from other nations.

Raymond James maintains an Outperform rating and $250 price target on Apple, pending clarity on tariffs and Apple’s strategic response. The tech giant’s growing manufacturing diversification outside China may provide some buffer against potential earnings impacts in 2025. The firm is monitoring the situation closely for any updates.



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