Oppenheimer has downgraded Apple Inc. (NASDAQ: AAPL) from 'Outperform' to 'Perform,' citing a 4% reduction in its fiscal year 2026 earnings per share (EPS) estimate, now projected at $7.95, below the consensus estimate of $8.23. This adjustment is attributed to anticipated declines in iPhone sales over the next 12 to 18 months. Analysts at Oppenheimer highlighted two primary challenges for Apple: increased competition in the Chinese market and a lack of compelling applications related to artificial intelligence that could drive device sales. Following the downgrade, Apple shares fell by 1.3% in premarket trading. This downgrade marks at least the fifth reduction in Apple’s ratings this month as concerns grow ahead of the company's upcoming earnings report, which is expected to show revenue of $124.13 billion for the first quarter.