Jefferies Keeps Underperform Rating on Apple Amid Pricing Concerns

Jefferies has reiterated an Underperform rating on Apple Inc. () with a price target of $263.66. The stock currently trades at $315.34, and InvestingPro data shows the company is overvalued relative to its Fair Value.

The firm commented on Apple's launch of the iPhone 18 P/PM and Duo foldable device. Notably, 13 analysts have revised their earnings downwards for the upcoming period.

Jefferies said Apple appears to be prioritizing volume over margin with unchanged pricing on older models. This could drive strong demand but add margin pressure, given the company's current gross profit margin of 48.65%.