NEW YORK (TheStreet) -- Apple (AAPL - Get Report) has been missing something since CEO Tim Cook took over in 2011, BGC Financial's Colin Gillis said on CNBC's "Closing Bell" on Wednesday afternoon. The firm has a "sell" rating and $85 price target on the stock.
The "issue" with Apple that both Gillis and the market are seeing is that the tech giant no longer has that "founder flame" it had under Steve Jobs. Apple's price to earnings multiple has declined during Cook's tenure while the broader market has seen an uptick of about 40%, Gillis pointed out.
"They're reiterating their existing products. There are starting to become some question marks in the narrative like, will China return to growth? Will there be a strong return to demand for the iPhone 8?" he argued.
His comments comes after Apple posted its first year over year decline in revenue and profits since 2001 for the 2016 fourth quarter.
After Tuesday's closing bell, the tech giant reported earnings of $1.67 per share, topping analysts' expectations of $1.66 per share. Revenue fell by 9% year-over-year to $46.9 billion, which was in line with analysts' estimates.
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Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings team rates Apple as a Buy with a ratings score of B+. This is driven by multiple strengths, which the team believes should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks the team covers.
You can view the full analysis from the report here: AAPLAAPL data by YCharts