Sell side: 5C not cheap enough

|By:, SA News Editor

BAML downgrades Apple (AAPL) to Neutral citing a lack of catalysts and no low-end phone.

Credit Suisse cuts to Neutral with price target of $525, with the team expressing concern about a lack of innovation and - like BAML - noting even the iPhone5C is a premium device.

Susquehanna's Chris Caso reiterates his Neutral rating and $440 price target - like the others noting this product cycle isn't a catalyst and the C in 5C definitely doesn't stand for "cheap." "We think the biggest surprise from an investment perspective is that the new iPhone 5C will be positioned as a midrange phone, and won’t provide much near-term help in addressing lower price points in emerging markets." His team doesn't expect the addition of DoCOMo and China Mobile to allow for the sort of significant market boost that would come from a true lower-priced phone. He's more bullish next year given expectations for a larger screen iPhone and more aggressive pricing for the 5C.

Shares down another 2.6% premarket.