Apple Inc.'s (AAPL - Get Report) price target was cut by a considerable margin at Piper Jaffray Co. but shares of the tech giant still rose early Thursday.

The iPhone maker rose 1.3% to $171.36. 

Piper Jaffray analyst Michael Olson lowered his price target on Apple to $222 from $250, citing slower global iPhone demand.

"Weaker iPhone component supplier results must be due to slower international uptake," Olson wrote. Recently, Lumentum Holdings Inc.  (LITE - Get Report) , which supplies Apple with lasers that power the iPhone's facial recognition system, warned of reduced orders from a key customer, leading analysts to conclude that the latest line of iPhones were not selling as well as Apple expected. 

"As such, we have slightly reduced our FY19E & '20E iPhone units," Olson said. Olson also increased his previously "below Street" services revenue estimate, saying Apple would post services revenue of $44.9 billion in 2019. 

"The end result is FY19 & '20 overall estimates remain unchanged," Olson said.

Olson's price target on Apple remained about 31% above the stock's current level. The valuation is also near the average valuation on Wall Street, with the highest price target being $300 from Monness, Crespi, Hardt & Co. 

Goldman Sachs last month slashed its price target on Aple to $182 a share, citing the fact that "Apple is seeing deteriorating demand relative to what the company had initially expected." The note added, "We flagged this risk in our October 15th Apple preview due to rapid smartphone demand deterioration in China. This now seems to be playing out." 

Piper Jaffray noted that "international iPhone weakness and disappointment around lack of future unit disclosure are both largely baked into the stock," which could explain why the stock wasn't moving lower.  

Apple shares have gained 1.21% this year.