Services slowdown pushes Morgan Stanley's AAPL target down to $360
Morgan Stanley has pared its Apple price target from $364 to $360 after slowing Services growth and higher memory costs weakened its earnings outlook, despite strong demand for the company's products. John Ternus and Tim Cook The investment bank kept its Overweight rating on Apple, but analyst Erik Woodring said two of the three factors that usually support the stock are under pressure. Morgan Stanley identified those factors as the iPhone , Services, and gross margins. The iPhone remains the strongest part of Morgan Stanley's report, seen by AppleInsider . Services growth and margins now appear weaker than the firm expected, however, prompting it to reduce its fiscal 2027 earnings estimate from $10.39 to $10 per share. Apple reported fiscal third-quarter revenue of $109.4 billion on July 30 , up 16% from the previous year. iPhone revenue reached a June-quarter record of $54.3 billion, while Mac revenue climbed 29%. Continue Reading on AppleInsider | Discuss on our Forums
What happened?
Morgan Stanley has pared its Apple price target from $364 to $360 after slowing Services growth and higher memory costs weakened its earnings outlook, despite strong demand for the company's products. John Ternus and Tim Cook The investment bank kept its Overweight rating on Apple, but analyst Erik Woodring said two of the three factors that usually support the stock are under pressure. Morgan Stanley identified those factors as the iPhone , Services, and gross margins. The iPhone remains the strongest part of Morgan Stanley's report, seen by AppleInsider . Services growth and margins now appear weaker than the firm expected, however, prompting it to reduce its fiscal 2027 earnings estimate from $10.39 to $10 per share. Apple reported fiscal third-quarter revenue of $109.4 billion on July 30 , up 16% from the previous year. iPhone revenue reached a June-quarter record of $54.3 billion, while Mac revenue climbed 29%. Continue Reading on AppleInsider | Discuss on our Forums
Story details
Morgan Stanley has pared its Apple price target from $364 to $360 after slowing Services growth and higher memory costs weakened its earnings outlook, despite strong demand for the company's products.
John Ternus and Tim Cook The investment bank kept its Overweight rating on Apple, but analyst Erik Woodring said two of the three factors that usually support the stock are under pressure.
Morgan Stanley identified those factors as the iPhone , Services, and gross margins.
Why it matters
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