Back in March, many experts were bullish on Apple stock resulting in a share-price forecasts average of around $190. However, things have been rapidly changing in the past few weeks.
Analysts are becoming less convinced about Apple and are trimming their price targets ahead of the upcoming earnings report. This is most likely a result of concerns about how the rising prices due to the economic slowdown could affect the company’s sales in the future.
The latest to pull the brakes on Apple was Wells Fargo’s Aaron Rakers, who now has a price target of $185 per share on Apple stock. This represents a decrease of 10% compared to Rakers’ previous price target of $205, but it remains more optimistic than the average analyst predictions ($180).
Despite analysts moving their share-price forecasts down, they still remain in favor of investing in Apple stock. Around 75% of them still have a “Buy” rating on Apple shares, including Morgan Stanley’s Katy Huberty, who kept it despite predicting an earnings miss for the company.
Apple stock traded for $154.69 on Thursday, which represents a significant recovery compared to the $130.06 low in June. The company’s shares are down 15% year to date.