After a significant recent increase in the price of apple shares, the market's expectation of continuing to move up its short line began to cool. KGI Securities revised the apple stock rating downwards on 22 June, but maintained the target price, showing that its judgement was not to be blind, but rather that the current pricing was more fully reflected.
Rating down to holdings
KGI Securitys downgraded the apple stock rating from “buy-in” to “held”. The Agency maintained a target price of $315 at the same time, indicating that its long-term performance of apples had not significantly weakened, but it had reservations about continuing to follow up in the short term.
In a note to clients, the analyst Rob Chang stated that the easier-to-eat benefit phase might have passed after the previous round of apples had risen and that there was a greater need to focus on the match between valuation and subsequent catalyticization.
Multiple profits are included in the share price.
According to KGI, apple performance in the latest quarter, iPhone 17 sales performance, and the new $100 billion stock buy-back plan have been largely absorbed by the market. These factors together drive stock prices to higher levels and reduce further upswing space.
- Strong performance in the second quarter
- iPhone 17 Sales are considered supporting factors
- A $100 billion repurchase plan has been announced.
Short-term or trans-discretion
The report mentions that the price of apple shares had previously risen to approximately $312. According to KGI, stock prices are more likely to move into the consolidation phase than to continue the previous rapid increase. For institutional funding, the attractiveness of continuing expansion at this stage is declining.
The Agency ' s core judgement is that the engine of long-term apple growth is still in place, but short-term risk returns are less than in the previous period. In the absence of new over-expected factors, stock prices may be more manifested in inter-temporal fluctuations.