Apple Stock Faces 19% Downside Warning from KeyBanc

Apple's latest earnings report has sparked concerns from KeyBanc analyst Brandon Nispel. Despite beating estimates, Apple's fiscal third-quarter results have a darker undertone. Management pointed to supply constraints, currency effects, and higher memory costs ahead.

Nispel believes Apple may be approaching a tougher period for iPhone growth. He expects higher product prices, designed partly to offset rising component expenses, could encourage consumers to delay upgrades and weigh on device volumes.

The analyst rates Apple Underweight with a $250 price target, implying about 19% downside from current levels. Nispel also argues the valuation remains demanding at roughly 37 times his fiscal 2027 earnings estimate, leaving less room for weaker growth.