Tuesday’s Apple (NASDAQ:AAPL) shares were under pressure following investment firm MoffettNathanson’s downgrading of the stock from “Neutral,” citing issues with the company’s high valuation. Premarket trade saw a one percent decline in shares after the release.Analyst Craig Moffett praised Apple’s excellent management team and creative ability but voiced worries about the company’s price reflecting just favorable results. “Apple is a really great company, and they are the purveyors of truly amazing products,” Moffett wrote in a note to customers.With Apple’s lowest growth rate among the “Magnificent 7,” a group comprising Tesla (TSLA), Amazon (NASDAQ:AMZN), Meta Platforms (NASDAQ:META), Alphabet (GOOG,GOOGL), Nvidia (NASDAQ:NVDA), and Microsoft (NASDAQ:MSFT), Moffett set a $188 price target for Apple shares but notes the business has the largest earnings multiple.Moffett cautioned that Apple’s valuation is difficult and that its growth pattern does not justify the valuation premium. “With this difficult background, Apple’s share outlook is sadly quite ugly,” he remarked.

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