Apple stocks (AAPL) – Get a report sank on Friday as Deutsche Bank analysts lowered their price target on the tech giant, citing “considerable uncertainty” resulting from the impact of the deadly coronavirus.
Apple stock prices fell 3.21% to $ 283.51 per share in pre-market trading, Deutsche Bank analysts Jeriel Ong and Ross Seymore reduced their price target to $ 295 per share, compared to $ 302.74 previously.
Deutsche Bank analysts have cut their estimates of Apple’s profits and revenues for the current quarter, citing recent revelations by Foxconn, which is assembling iPhones for Apple at factories in China, of production-related problems coronaviruses.
Foxconn reportedly struggled with worker shortage as it pushes production back to normal at its factories in China after extending the traditional Lunar New Year break in January as part of efforts to stop the spread of Covid -19.
Deutsche Bank lowered its estimates for the quarter ending in March, lowering revenues to $ 60.4 billion and profits to $ 2.69 per share.
While the drop in Apple’s stock price from January to February – after falling $ 324.95 per share on February 14 – makes the tech giant a more attractive buy, its stock price is still trading ” at a premium over the S&P 500 “. wrote analysts at Deutsche Bank.
As a result, Deutsche Bank maintained its hold rating on Apple stocks, analysts noting that there is “no reason to revalue stocks much higher than the market, so we are staying on the sidelines.”
“We are feeling more and more at ease trying to see how March could evolve in light of the incremental disclosures linked to the production of Foxconn,” wrote analysts at Deutsche Bank.
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