Analysts are expressing caution regarding Apple's upcoming Q4 earnings report, scheduled for October 31, as concerns grow over the demand for the new iPhone 16 and its AI features. Bernstein has maintained an 'Outperform' rating for Apple Inc. (AAPL) with a price target of $240, but noted that the company is 'more likely to guide down than guide up.' Historically, Apple's FQ4 earnings have been less significant than its guidance, which is expected to focus on the strength of the new iPhone cycle. However, recent commentary indicates that iPhone sales are down compared to the previous year, and no significant surge in demand is anticipated despite the launch of Apple Intelligence in the U.S. on October 28. Analysts have pointed out that the incorporation of AI has not generated the expected upgrade cycle, leading to uncertainty about future growth. Additionally, reports suggest that Apple may have reduced iPhone 16 orders prior to its release, raising further doubts about the product's market performance.