Apple (AAPL) stock has risen 3.3% over the past week, slipped 1.3% over the past month, but is still up a strong 38.3% over the past year. Wall Street’s analysts hold a ModerateBuy consensus, with an average 12‑month price target of $333.18 versus a last close of $313.33, implying moderate upside from current levels.
Yet not all experts are aligned, and one of the latest voices turned cautious. Edison Lee of Jefferies downgraded Apple to Sell, setting a price target of $263.66, which signals notable downside from today’s price and contrasts with the broader upbeat view on the stock.
Lee’s report focuses on Apple’s iPhone roadmap and the struggle to push prices higher in a cost‑inflation environment. His supply‑chain checks suggest Apple has canceled a planned 20th‑anniversary all‑glass iPhone for September 2027 due to poor production yields, which he sees as a major setback for boosting iPhone margins and average selling prices.
The analyst argues that, without this ultra‑premium model, iPhone ASP growth between FY26 and FY31 will be weaker than previously expected, leaving the future foldable iPhone as the main driver of higher prices and margins. However, he believes the foldable device will remain a niche product, with very high memory costs pushing prices above $2,000 and limiting volume.
Lee also highlights rising memory prices and Apple’s cautious upgrades to iPhone DRAM as signs that cutting‑edge features like Apple Intelligence may progress more slowly than hoped. He notes Apple’s recent tweaks to iPhone trade‑in values, which could pull demand forward to iPhone 17 but risk softer sales for iPhone 18, reinforcing his view that investors should be careful with the stock at current levels.
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