Loop Capital analysts downgraded Apple (NASDAQ:AAPL) from Buy to Hold, lowering the price target to $230 from $275 on the stock. The decision comes in light of updated supply chain analysis suggesting a significant reduction in iPhone demand starting in the March quarter, with more pronounced declines expected in the June and September quarters.

The analysis indicates that Apple may face headwinds over the next nine months, particularly as demand for its current iPhone lineup softens. This adjustment challenges the earlier outlook from Loop Capital, which anticipated a more robust structural growth story for the company in the midterm.

While long-term growth prospects tied to future product cycles, such as the anticipated iPhone 17, remain promising, the timing of their impact on Apple’s performance is now uncertain. The muted near-term outlook, coupled with 2.5 quarters of projected declining demand, underscores the rationale for the downgrade.

Investors will likely be watching closely for signs of stabilization or new catalysts to offset the anticipated slowdown, particularly as Apple navigates these headwinds in its flagship product line.