Jefferies analyst cuts Apple outlook -

FruityCo is worrying analysts who are starting to note its flagship iPhone is going the way of the dodo.

Jefferies axed its price target on Apple and cut its outlook on third-quarter sales. A year ago this would have been unthinkable.

But according to Fox Business it is all because of signs that the iPhone project is running out of steam.

Jefferies analyst Peter Misek lowered his price target on Apple from $420 to $405. He said this was because Apple had cut the numbers of iPhones it builds as well as worsening inventory levels for iPhones. Misek believes that Apple will sell three million less iPhones than he initially expected - when he was feeling more optimistic he thought Cupertino could flog 30 million of them.

Misek also cut current-quarter revenue and earnings per share to $36.6 billion and $7.02 a share from an earlier $38.8 billion and $7.64 a share and lowered anticipations for the fourth quarter.

There are some hopes that Apple's woes will be reversed when it releases its next-generation iPhone and a lower-cost iPhone.

However, Apple is going to have to pull some significant rabbits out of the hat and this is something that it has not managed to do for a while. So far its super-cool, game-changing technology, such as Apple Maps and Siri, has either been broken or of limited value.