Market Overview

UPDATE: Jefferies Downgrades Apple to Hold on Margin Pressure

Related AAPL
Which Earnings Reprort Are You Waiting For? - Real Time Insight
Yahoo! Proposes 3 Executives to Board - Analyst Blog
The Secret to Social Media Marketing (Fox Business)

Jefferies downgraded Apple (NASDAQ: AAPL) with a Neutral and lowered the price target from $800.00 to $500.00.

Jefferies commented, "Three factors are working against Apple: 1) Smartphone and tablet growth is becoming more concentrated in the low end of the market. 2) Increased competition is leading to shorter product cycles. Apple's margins usually contract during new product launch as yield issues are worked through. A quicker cadence leaves more compressed quarters and less time to harvest profits. 3) Moving away from Samsung, with its huge scale, high quality and excellent execution, is proving difficult and expensive. We now forecast GMs staying below 39% and trending lower."

Apple closed at $514.01 on Wednesday.

Posted-In: JefferiesAnalyst Color Downgrades Pre-Market Outlook Analyst Ratings

 

Most Popular

Related Articles (AAPL)

Around the Web, We're Loving...

Partner Network

Get Benzinga's News Delivered Free