Apple shares dropped 1.3% in pre-market trading on Monday.

Jefferies has downgraded Apple from Hold to Underperform, citing concerns that the company's strategy of driving growth through more expensive iPhones is facing significant obstacles. Analyst Edison Lee noted that Jefferies' supply chain checks indicate Apple has scrapped its all-glass iPhone due to poor yield rates. "This is a major setback for Apple's efforts to launch higher-priced iPhones amid soaring memory chip costs." Jefferies also lowered its price target on Apple from $285.56 to $263.66. The stock went ex-dividend on Monday.