Big news for Apple watchers Loop Capital Markets has just cut its price target for Apple Inc. from $230 to $215. While that may raise eyebrows, they’ve still kept a aHold rating, meaning investors are advised to wait and watch rather than buy or sell right now. Currently, Apple holds a massive market cap of $3.17 trillion and trades at a P/E ratio of 33.5x. According to InvestingPro, this is higher than its Fair Value, suggesting the stock may be slightly overvalued at the moment.

Why the Cut?

The change in price target comes after fresh insights from Loop Capital’s Supply Chain Analyst, John Donovan, who revealed some shifts in Apple’s iPhone production plans. While Apple hasn’t officially reduced its iPhone build numbers, internal adjustments hint at strategy changes possibly to deal with ongoing tariff issues.

Still, the company remains financially strong, with a 46.5% gross profit margin and 27.6% return on assets. Analyst Ananda Baruah mentioned that Apple is actively adjusting its business strategies to stay ahead in a challenging global trade environment.

iPhone 17 and 18 on the Horizon

Looking forward, Apple is preparing for the launch of iPhone 17 and iPhone 18, which are expected to come with new form factors, a move that could reignite consumer excitement and investor confidence. These upcoming devices might help stabilize Apple’s stock, even as tariffs remain a concern. Interestingly, Donovan pointed out pull-ins in Apple’s ASP Tracker, a term that likely means Apple is speeding up some inventory or supply chain moves to stay prepared.

Mixed Reactions from Other Analysts

Loop Capital isn’t alone in rethinking Apple’s future:

  • Barclays analyst Tim Long cut his target from $197 to $173, with an Underweight rating, though he sees strong performance in the SE model for June.
  • Raymond James lowered its target from $250 to $230, citing possible earnings pressure due to tariffs but kept an “Outperform” rating.
  • In contrast, Morgan Stanley raised its target to $235 and kept an Overweight rating, pointing to Apple’s solid free cash flow and strong Services growth as big positives.

While the Magnificent Seven tech stocks had mixed results recently, Apple’s share price has stayed mostly stable.

Strategic Shift in Production

Apple is reportedly planning to shift its entire iPhone assembly for the U.S. market from China to India by the end of next year, in an effort to mitigate the effects of trade tariffs imposed under President Trump’s administration. Currently, Apple manufactures most of its iPhones in China, which faces a 20% import tariff into the U.S. The company aims to produce all 60 million units destined for the American market in India by the end of next year, effectively doubling its output there.

Upcoming iPhone Innovations

Apple is planning to launch an all-new iPhone 17 model next year with a significantly thinner design. The device could have a higher price tag than the Pro Max model, suggesting that it would become the new highest-end model in the lineup.