UBS cuts Apple stock price target to $210 from $236

On Wednesday, UBS analyst David Vogt adjusted the price target for Apple (NASDAQ:AAPL) shares, bringing it down to $210 from the previous $236, while retaining a Neutral rating on the stock. The revision comes in anticipation of broad-based tariffs that are expected to be implemented soon. With Apple’s current stock price at $205.91 and a market capitalization of $3.11 trillion, InvestingPro analysis suggests the stock is currently trading above its Fair Value. Vogt noted that Apple appears to have accelerated the shipment of at least 1 million iPhones, which contributed to year-over-year growth in iPhone revenue for the March quarter. This growth occurred despite demand being flat to slightly up.

Vogt highlighted that the pull-forward in iPhone shipments and the significant decline of the US dollar in relation to global currencies during the quarter were factored into the updated revenue and EPS estimates for March 2025. As a result of these adjustments, UBS has increased its revenue forecast for Apple’s March quarter by approximately 2%, setting the new expectation at $95.5 billion, up from the earlier prediction of $93.5 billion. This update surpasses the Visible Alpha consensus of $94.2 billion and represents a 5.2% growth year-over-year. For context, Apple’s trailing twelve-month revenue stands at $395.76 billion, with analysts on InvestingPro projecting continued growth. The company maintains strong profitability metrics, including a 46.52% gross profit margin.

Additionally, the earnings per share (EPS) estimate for March 2025 has been raised to $1.62 from the prior $1.56 estimate, while InvestingPro data shows analysts forecasting full-year EPS of $7.29 for FY2025. The improved revenue and EPS projections are also attributed to slightly better-than-expected demand for Mac computers. With just 8 days until Apple’s next earnings report, investors seeking deeper insights can access comprehensive Pro Research Reports covering 1,400+ top stocks, including detailed analysis of Apple’s financial health, which currently rates as "GOOD" according to InvestingPro’s scoring system.

Vogt’s report suggests that Apple’s strategic management of its supply chain and product shipments has had a positive impact on its financial performance for the March quarter. Despite the lowered price target, the company’s ability to navigate currency fluctuations and anticipated tariff impacts has been reflected in the revised financial estimates.

The updated UBS analysis provides investors with a new set of expectations for Apple’s performance as the company heads into a period of economic changes. While the price target has been reduced, the maintenance of a Neutral rating indicates a cautious but not pessimistic outlook for Apple’s stock in the near term.

In other recent news, Apple Inc. has faced a series of developments that may interest investors. The European Union has imposed a fine of 500 million euros on Apple, which the EU spokesperson described as proportionate to the duration and severity of the infringement. Meanwhile, Morgan Stanley (NYSE:MS) has maintained its Overweight rating for Apple, with a price target of $220, based on a positive consumer perception and a surge in U.S. iPhone upgrade rates. Additionally, Apple’s Siri engineering team is undergoing a significant reorganization under the leadership of Mike Rockwell, who is bringing in expertise from the Vision Pro software group. This restructuring aims to address delays and difficulties within the Siri project. In premarket trading, Apple shares saw a 2.7% increase, buoyed by comments from U.S. President Donald Trump regarding potential reductions in tariffs on China, which could benefit Apple’s supply chain. Furthermore, other members of the "Magnificent Seven," including Meta (NASDAQ:META) and Tesla (NASDAQ:TSLA), also experienced positive movements in premarket trading.

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