Morgan Stanley Lowers Price Target For Apple

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Morgan Stanley Lowers Price Target For Apple

Morgan Stanley Sets Apple Stock Price Target To $210, Keeps Overweight Rating

Morgan Stanley has issued a downward revision to the price target of Apple (APPL). Initially, the firm had set a $215 price target for the tech company, which is now reduced to around $210 only.

According to Morgan Stanley's analysis, the 4th quarter of the financial year 2023 will not provide much depth. As a result, the market will not be able to interpret the results as bearish or bullish at all.

Major Headwinds Ahead For Apple

In addition, the analyst firm has also kept the overweight rating for Apple unchanged. They added that the company will face a supply shortage of iPhones in the 4th quarter. At the same time, strength in the US Dollar will lead to some troubles for Apple.

After looking at the demand & supply side, Morgan Stanley has increased its estimates for Q4 a little bit. However, they have also reduced the estimates for the Dec Q by around 5 to 9%. The reason for this change is the latest iPhone 15, the modern smartphone introduced by the Apple company.

The firm also added that Apple's earnings release is scheduled to be released on the 2nd of November, which will not offer any clarity. In other words, Apple's stock will not deliver any major price action on the 2nd of November.

For now, one of the headwinds faced by Apple is the supply of the iPhone 15 Pro Max and the Pro models. In fact, the supply problem will even extend into early 2024, which will likely translate into poor sales numbers as well.

Another factor that remains to be seen is whether Apple will set a new sales record with its iPhone model or will fall victim to weak consumer demand around the global. After all, every new iPhone model made by the company comes with a higher price tag than the last model.

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