updated 04:05 pm EST, Tue November 17, 2009
Price target holds at $235
Needham & Co. analyst Charlie Wolf has issued a slight downgrade to Apple stock, dropping his rating from "Strong Buy" to simply "Buy." Apple's share price has grown less than 15 percent over a recent $200 price target, he notes, meeting "admittedly arbitrary" criteria for a lower valuation. Also bearing blame is said to be the economy, which remains in recession and may be the ultimate arbiter of whether Apple makes any gains during the holiday season.
Wolf comments, however, that Apple is expected to meet or surpass a first-quarter EPS prediction of $1.77. The company's last quarterly results moreover exceeded Needham valuation models, for which no revision is set to happen until January. Wolf is holding on to a current price target of $235.