Apple Stock: Should Investors Worry About Price Target Cuts? Citi analyst Jim Suva recently cut his price target on Apple from $200 to a still-bullish $175. Suva lowered his price target due to factors such as foreign exchange headwinds and concerns that Apple's Russian exodus will hurt the company's growth.
But according to Suva, the biggest short-term concern for Apple's stock is the potential lengthening of device replacement cycles. According to reports, users now tend to go four years without upgrading their smartphones.
Combined with weaker consumer spending due to inflation, this could put negative pressure on iPhone shipments and result in fewer units sold.
However, the analyst listed five good reasons to remain bullish on Apple:
- The launch of the iPhone 14 in September and the debut of a foldable phone in 2023
- A product mix that deviates from lower-priced Android models
- Apple's plans to buy back about $90 billion in stock
- Apple's "sticky" service revenues
- Upcoming releases such as virtual reality/augmented reality (VR/AR) products and the Apple Car, which are not yet reflected in the company's market cap
https://www.thestreet.com/apple/stock/apple-stock-should-inv