Apple shares fall for a third session in a row on Monday, Mizuho downgrades the stock to “neutral”

Shares of Apple Inc (AAPL) retreated more than 2% at the close yesterday, after losing almost 3.5% at some point during the session, as investors supposed a peak had been reached. At the same time, Mizuho investment bank downgraded the stock and also revised down its price target.

Apple shares closed lower for a third consecutive trading session on Monday. The stock went down 2.39% ($3.56) to $145.42, after touching an intraday low at $142.51, or a price level not seen since April 21st ($141.85). In the week ended on June 11th the shares of the technological company lost 4.16% of their market value compared to a week ago, which marked the first drop in the past three weeks and also the sharpest one since the week ended on November 6th 2016. The stock has extended its loss to 4.80% so far during the current month, following a 6.34% surge in May. The latter has been the fifth gain in six months and also the steepest one since February. For the entire past year, Apple Inc’s shares gained 10.03%.

Mizuho has downgraded the tech giant from “buy” to “neutral”, while also revising down its price target for the stock from $160 to $150 due to concerns that strong sales of the iPhone 8 in the upcoming production cycle may have already been priced into the companys shares.

“We believe enthusiasm around the upcoming product cycle is fully captured at current levels, with limited upside from here on out”, Abhey Lamba, Mizuho managing director, wrote in a June 11th note to clients, cited by Investing.com.

According to Lamba, the consensus estimate pointing to a 30% growth in services revenue per user during the upcoming two years “seems high”, while growth in China is “likely to remain weak”.

According to CNN Money, the 38 analysts, offering 12-month forecasts regarding Apple Inc’s stock price, have a median target of $164.00, with a high estimate of $202.00 and a low estimate of $120.00. The median estimate is a 12.78% surge compared to the closing price of $145.42 on June 12th.

The same media also reported that 29 out of 43 surveyed investment analysts had rated Apple Inc’s stock as “Buy”, while 8 – as “Hold”. On the other hand, 1 analyst had recommended selling the stock.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, today’s levels of importance for the Apple stock are presented as follows:

R1 – $145.75
R2 – $146.08
R3 (Range Resistance – Sell) – $146.40
R4 (Long Breakout) – $147.39
R5 (Breakout Target 1) – $148.54
R6 (Breakout Target 2) – $149.07

S1 – $145.09
S2 – $144.76
S3 (Range Support – Buy) – $144.44
S4 (Short Breakout) – $143.45
S5 (Breakout Target 1) – $142.30
S6 (Breakout Target 2) – $141.77

By using the traditional method of calculation, the weekly levels of importance for Apple Inc (AAPL) are presented as follows:

Central Pivot Point – $150.33
R1 – $154.63
R2 – $160.29
R3 – $164.59
R4 – $168.90

S1 – $144.67
S2 – $140.37
S3 – $134.71
S4 – $129.06