An Apple Bull Lowers Price Target on the Stock
Recent developments from Wall Street indicate a reduction in optimism regarding Apple’s stock performance.
On Thursday, analysts from Bank of America reaffirmed their “buy” recommendation for Apple (AAPL) while decreasing their price target by $10, now set at $240. This figure still surpasses the average target of around $234 from other analysts, according to Visible Alpha. Their decision reflects concerns about the impact of tariff-related expenses on profit margins and the potential negative influence of delayed AI features on product demand.
Despite these shifts, Apple’s stock saw a slight uptick, rising approximately 1% to around $207 as broader market trends improved.
Apple is among the noteworthy tech companies, part of the Magnificent Seven, scheduled to announce earnings next Thursday. Bank of America predicts a temporary boost in sales due to tariffs but reduces long-term sales expectations to account for increased supply chain complexities and delays in launching AI enhancements for Siri.
Year-to-date, Apple shares have declined by about 17%, lagging behind the S&P 500 index. Research from Vanda indicated that retail investors are predominantly selling Apple shares while showing continued interest in other stocks like Tesla (TSLA) and Nvidia (NVDA).
Despite signs of retail investor frustration, Vanda expressed that a complete withdrawal of interest seems to be a distant prospect.
Analysts’ Insights on Alphabet Stock Ahead of Earnings
Alphabet (GOOGL), Google’s parent company, is set to release its first-quarter earnings after market closure on Thursday, with analysts generally optimistic about its ability to navigate economic challenges.
Citi analysts recently shared their belief that Google Search is likely to be one of the last platforms to feel the effects of macroeconomic pressures while being among the first to bounce back.
They emphasized Alphabet’s growth opportunities through advancements in AI technologies like Google’s AI Mode in Search and its upgraded Gemini language model. Morgan Stanley also expressed confidence in the company’s long-term growth prospects driven by AI innovations in Search and YouTube. Citi and Morgan Stanley set their price targets for Alphabet at $195 and $185, respectively.
From the group of analysts monitoring Alphabet, 14 out of 19 have issued “buy” or similar ratings, with a consensus price target approaching $194.
Currently, Alphabet shares have decreased by roughly 16% in 2025, significantly underperforming the S&P 500. However, the stock was reported to have gained 2% during early afternoon trading, with its price around $161.
During its earnings call, analysts are expected to inquire about a recent court ruling that determined Google unlawfully maintained monopolies in the digital advertising sector, with some speculation of the company possibly spinning off its ad network without significantly hampering its core businesses.
