Apple has been valued at a staggering $2.9 trillion, making it the most valuable publicly traded U.S. company in the world. However, some analysts on Wall Street have not been too optimistic about its future. Barclay’s analyst Tim Long has expressed concerns about the lack of compelling features in the iPhone 16 series that could turn around the apparent downtrend in iPhone demand. As a result, he has downgraded Apple’s stock to “Underweight” and reduced the price target from $161 to $160.
This downgrade signifies a suggestion for institutional traders to sell Apple’s shares. Other analysts, such as Harsh Kumar from Piper Sandler and James Cordwell from Redburn Atlantic, have also reduced their ratings on Apple, emphasizing concerns about lower iPhone sales and regulatory issues surrounding the App Store.
In contrast, Microsoft is gaining momentum, with its share price rising 2.41% since the beginning of the year. With a current market capitalization of $2.84 trillion, Microsoft is only $600 million away from surpassing Apple as the most valuable publicly traded U.S. company. In the last year, Microsoft’s shares have risen by 62.4%, while Apple’s shares saw a 39.5% increase over the same period. This suggests that Microsoft is in a strong position to overtake Apple at the top of the valuation charts.