Goldman isn't taking a bite out of Apple's (AAPL - Get Report) stock into earnings later this month. 

The investment bank reiterated a $164 price target on the tech giant Friday, projecting 12-month downside risk of 14.5%. Goldman said downside risks on Apple include weakening iPhone demand, pressure on gross margins and large and dilutive acquisitions.

Picking apart Goldman's model (see below), it appears it's concerned about Apple's average selling prices and less enthusiastic on profit margins relative to most on Wall Street for the September quarter.

Goldman alum Jim Cramer doesn't share the same view on Apple. 

Cramer actually thinks the stock still is inexpensive at $188 and believes that that people continually misread the service revenue stream. "I think that there will absolutely be another leg up as Apple reconfigures the App Store and drives you more to Apple apps, which is gonna be really lucrative for them. So with that revenue stream that is much less episodic," Cramer said on hist latest Action Alerts PLUS member call. Apple is a key holding in the Action Alerts PLUS portfolio.