KeyBanc downgraded Apple stock to "sector weight" from "overweight"
Apple Inc (NASDAQ:AAPL) stock is leading blue-chip components' premarket losses this morning, after KeyBanc downgraded the shares to "sector weight" from "overweight." The analyst cited valuation concerns after AAPL's recent surge, as well as expectations that U.S. sales will struggle.
Last seen 0.7% lower before the bell, Apple stock has taken a 13% haircut from its July 19 all-time high of $198.23. Look for today's pullback to test the $170 level an area that happens to coincide with the shares' 180-day moving average. Year to date, AAPL is up 32.7%.
To show how rare this downgrade is, and how it could impact the broader tech sector, consider this: 21 rate the Big Tech stock a "buy" or better, with zero "sells" on the books. Echoing this, the 12-month consensus target price of $199.56 is a 16.5% premium to last night's close.