Apple (AAPL) has historically enjoyed robust institutional backing and optimistic analyst opinions. However, following a 19% decline in its share price in the year to date, the consensus is beginning to fray. 

According to MarketWatch, seven of the 50 top analysts covering Apple have downgraded the stock thus far in 2025. And from a behavioral clustering perspective, this initial wave may be just the precursor to a larger rush of downgrades. 

This warning is timely considering the broader Nasdaq 100 Index ($IUXX) is up 3.4% YTD, further accentuating Apple’s underperformance. Wall Street's belated response to worsening fundamentals, including slowing iPhone growth, as well as increasing AI hardware competition, may give rise to a sustained wave of additional downgrades and downward pressure. 

About Apple Stock 

Apple (AAPL) is a $3 trillion tech behemoth based in Cupertino, California, and is most popular for its iPhones, iPads, Macs, and its developing services business. Apple is active in the consumer electronics and digital services sector, and it has an enormous installed base and worldwide supply chain. 

Shares are down 19% in 2025, far behind the S&P 500 Index ($SPX), which is up approximately 1.5% in the same period. During the previous 52 weeks, AAPL has ranged from $169.21 to $260.10. At its current price near $202, the stock is nearly 19% off its year-to-date high. 

Apple trades at a forward price-earnings ratio of 28.35x, which is above most of its Big Tech peers and its own historical average. A price-sales multiple of 7.7x and a price-cash flow of 26.4x similarly speak to premium levels of valuation, susceptible to downward adjustments in earnings estimates. It offers a dividend payment of $0.26 a quarter, or a moderate forward yield of about 0.51%. 

Apple Beats Estimates But Issues Cautionary Note on Growth 

Apple’s fiscal Q2 2025 results were good, at least on the surface. Revenue grew 5% from the previous year to $95.4 billion, and diluted EPS increased by 8% to $1.65, a beat on Wall Street expectations. Strong sales in services and hardware upgrades, ranging from the iPhone 16e to M4-fueled Macs, fueled the surprise upside. 

Management remained conservative in its expectations, though. For Q3 it guided toward flat year-over-year revenue and margin compression related to continued FX headwinds and softness in its China business. Its full-year EPS guide is slightly above consensus, but it is not the kind of acceleration investors are looking for.

When the company next reports earnings, investors will closely monitor Apple for evidence of AI-related product revenue acceleration. 

What Analysts Anticipate for Apple Stock 

Apple earns a “Moderate Buy” rating by the 37 analysts and its average target of $231.02 equates to 14% potential upside from its current price. 

The highest target tracked by Barchart is $300 and the lowest is $141, indicating a broad spectrum of opinions and increasing uncertainty regarding Apple’s earnings path. Should the rate of downgrades intensify, the average target will, diminishing upside potential.