S&P downgrades Apple shares to "Hold' on valuation
"We believe Apple's fundamentals remain strong on market-share gains in desktops and laptops, success with digital-media players and software, and notable inroads in the smartphone category," wrote analyst Scott Kessler.
As a result of these successes, the analyst said he believes Apple should trade at a greater premium to the price/earnings-to-growth rate of the S&P 500 Technology Sector. He therefore raised his 12-month target price on shares of the Cupertino-based company to $155 from $135.
Simultaniously, however, Kessler hedged long-term bets on the stock by cutting his rating to a "Hold."
"We think our downgrade is warranted by risk-reward considerations, especially with expectations high and Apple scheduled to report June-Q results on Wednesday," he wrote.
In late May, Standard & Poor's announced that Apple had joined its prestigious S&P 100 index of big blue-chip companies.
26 Comments
Tee hee! Silly analysts!
Let's see what drjjones has to say about this...
Citing risk-reward considerations, analysts for Standard and Poor's Equity Research cut their rating on shares of Apple Inc. to "Hold" early Monday.
"We believe Apple's fundamentals remain strong on market-share gains in desktops and laptops, success with digital-media players and software, and notable inroads in the smartphone category," wrote analyst Scott Kessler.
As a result of these successes, the analyst said he believes Apple should trade at a greater premium to the price/earnings-to-growth rate of the S&P 500 Technology Sector. He therefore raised his 12-month target price on shares of the Cupertino-based company to $155 from $135.
Simultaniously, however, Kessler hedged long-term bets on the stock by cutting his rating to a "Hold."
"We think our downgrade is warranted by risk-reward considerations, especially with expectations high and Apple scheduled to report June-Q results on Wednesday," he wrote.
In late May, Standard & Poor's announced that Apple had joined its prestigious S&P 100 index of big blue-chip companies.
I think you need to look at their rating by StarMine analyst and see their accuracy at judging right was 10 percent of the time on judging recommendations on AAPL. That means they were WRONG 90 percent of the time lol on AAPL. Not a good record .
I think you need to look at their rating by StarMine analyst and see their accuracy at judging right was 10 percent of the time on judging recommendations on AAPL. That means they were WRONG 90 percent of the time lol on AAPL. Not a good record .
Somehow I knew you'd be right on top of this one...
Tee hee! Silly analysts!
Let's see what drjjones has to say about this...
You called that one. I don't even recognize this poster's name.