Apple price target lowered to $140 from $182 at Goldman Sachs
Goldman Sachs analyst Rod Hall lowered his price target for Apple to $140 citing last night's negative fiscal Q1 preannouncement. The company reduced the mid-point of its revenue guidance by 8% as demand incrementally weakened during the quarter versus its expectations, Hall tells investors in a research note. He says Apple's guidance cut confirms his negative view on demand in China that he's been flagging since late September. Hall reduced his fiscal 2019 revenue estimate for Apple by 6% to $253B and earnings per share estimate by 10% to $11.66. Further, he sees the potential for further downside to fiscal 2019 numbers "depending on the trajectory of Chinese demand in early 2019." The analyst keeps a Neutral rating on Apple.