KeyBanc Downgrades Apple Stock on iPhone Sales Concerns

KeyBanc Capital Markets has downgraded Apple's stock rating due to growing concerns over iPhone sales. Analysts noted weakening demand, particularly in the U.S. market, which could negatively impact Apple's near-term revenue expectations. The downgrade pressured shares of the tech giant, shifting investor focus to the company's growth dynamics. KeyBanc analysts stated that besides the slowdown in iPhone sales, Apple's services revenue growth may also fall short of expectations. This could narrow the company's overall profit margins. Additionally, macroeconomic uncertainties and increasing competition were highlighted as threats to Apple's market share. The downgrade comes despite Apple's recent strong performance. Although the company posted record revenue last quarter, declining demand in the Chinese market and supply chain issues are causing concern. KeyBanc also revised its price target for Apple downward. Investors will watch whether Apple can reverse this negative outlook through upcoming product launches and potential growth in services revenue. The company's shares edged lower following the downgrade news. This is not investment advice.