Apple Stock Slides 7% as Weak Sales Forecast Overshadows Quarterly Earnings Beat 
Meta Cuts Wipro Outsourcing by 25% After AI-Led Restructuring 
Bitcoin Hits $100K Milestone Amid Optimism Over Trump Policies 
U.S. Stock Futures Rise as Trump Takes Office, Corporate Earnings Awaited 
Cloudflare Stock Jumps 15% as Earnings Beat Estimates, 2026 Outlook Raised 
Heineken H1 Operating Profit Meets Forecast as Beer Volumes Beat Expectations 
Vast Eyes Hong Kong IPO as Chinese AI Unicorn Gains Momentum 
Elliott Investment Management Takes Significant Stake in BP to Push for Value Growth 
Gold is meant to be a ‘safe haven’ in uncertain times. Why is it crashing amid a war? 
How the UK’s rollback of banking regulations could risk another financial crisis 
European Stocks Rally on Chinese Growth and Mining Merger Speculation 
Nintendo Shares Jump as Switch 2 Sales Boost Earnings 
OpenAI Restricts Astra AI Over Cyberattack Risks 
Berkshire Hathaway Cash Falls as Abel Boosts Stock Buybacks 
Nvidia to Invest Up to $3 Billion in Blackstone-Backed Lancium 
Western Digital Q4 Earnings Beat Estimates as FY2027 Outlook Tops Expectations 
Jefferies analysts downgraded Apple (NASDAQ:AAPL) stock to Underperform from Hold, reducing the price target to $200.75 from $211.84, signaling a potential 13% downside. The downgrade reflects concerns over Apple's fiscal Q1 2025 earnings and guidance, with analysts predicting the company will miss its revenue growth target of 5% and guide for low single-digit growth in Q2.
The bearish outlook stems from weak iPhone sales and subdued expectations for the iPhone 17 and 18, driven by “slower AI uptake and commercialization.” Jefferies revised their Q1 iPhone shipment forecast to a 2% decline from a 1% growth, citing a 4% year-over-year drop in shipments according to IDC data. Demand in China has reportedly dropped sharply, while other markets may see marginal growth.
Other Apple products like iPads and MacBooks face challenges amid a sluggish consumer electronics market. Optimism for Chinese demand is dampened by new government policies limiting subsidies for most iPhone models. Additionally, demand for the SE4 could fall short, competing against used iPhone 13/14 models rather than Android alternatives.
Jefferies also flagged a subdued outlook for smartphone AI, noting that US consumers find the feature less useful. Delays in Apple’s advanced packaging roadmap for AI capabilities further raise concerns. Analysts believe AI monetization challenges could slow iPhone upgrade cycles despite potential new form factors.
Jefferies slashed Apple’s earnings per share (EPS) estimates for FY25 and FY26 by 2% to 23%, with projections now 4% below consensus. These factors, combined with slower AI adoption, contribute to the cautious outlook for Apple's growth trajectory.
