Looks like one of Apple’s (NASDAQ:AAPL) biggest bulls has begun rebalancing his expectations from the company. Brian White of Topeka Capital Markets announced in a note to investors on Thursday that he was cutting his 12-month price target on the company from a remarkably high $1,111 to $888 per share on the tumbling stock price.
Apple dropped a little under 10 percent in after-hours trading on Wednesday after its earnings results were announced, saw a similar fall premarket on Thursday, and was down a little more than 10 percent in the first few minutes of the start of the trading day. “Given the decline in the share price, we are lowering our 12-month price target to $888 from $1,111 for Buy-rated Apple,” White wrote.
The company said on Wednesday that profit in the holiday quarter rose less than 1 percent to $13.1 billion, or $13.81 a share. It was the slowest earnings growth since 2003 for Apple. Sales rose 18 percent to $54.5 billion for their weakest increase in 14 quarters.
White added that Apple’s immediate decline has left the stock trading “at less than six-times (ex-cash) our calendar year 2014 EPS estimate and we believe there is quite a bit of bad news priced into the stock at current levels, while estimate resets lower the bar for the future.”