Analyst Downgrades: Apple, Calithera Biosciences, Gap

Analysts are weighing in on tech mammoth Apple Inc. (NASDAQ:AAPL), pharmaceutical stock Calithera Biosciences Inc (NASDAQ:CALA), and apparel focus Gap Inc (NYSE:GPS). Here's a quick roundup of today's bearish brokerage notes on AAPL, CALA, and GPS.

• A discouraging note from Credit Suisse has AAPL 1.9% lower ahead of the open. The brokerage firm highlighted the fact the company has cut some of its component orders by as much as 10%, indicating weak demand for the iPhone 6s. This development prompted Credit Suisse to lower its iPhone sales estimates for 2016. Meanwhile, the shares have been making a push for the $125-$130 range, but have so far come up short, closing Monday at $120.57. Options traders, though, have recently taken a liking to Apple Inc. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock boasts a 10-day call/put volume ratio of 2.40, which tops 82% of all other readings from the past year. This indicates a pronounced preference for call buying. 

• After getting smashed on Monday, CALA is set for another devastating day on the charts, off 9% pre-market following the firm's quarterly results. Leerink has since chimed in, cutting its price target to $13 from $19. The equity finished yesterday at $7.83 -- 61.2% lower year-to-date, and short sellers are throwing a party. Over one-fifth of Calithera Biosciences Inc's float is sold short, representing more than two weeks' worth of buying power, at average daily volumes.  

• Wedbush dropped its price target on GPS to $27, while Baird and Cowen and Company each lowered theirs to $28, after the company announced disappointing same-store sales for October -- though this isn't anything new for the apparel firm. The retailer also offered up a weaker-than-forecast third-quarter profit estimate, and said quarterly sales dropped 3%. Gap Inc is now set to drop 6.8% at the open -- and at a new three-year low -- which would just add to its 34.2% year-to-date decline, finishing at $27.69 on Monday. In the option pits, traders are ready for the drop. GPS' 50-day put/call volume ratio at the ISE, CBOE, and PHLX comes in at 3.55 -- higher than 92% of all readings from the past year.