Apple is removed from the "US Conviction List" by Goldman Sachs

Apple is no longer included in Goldman Sachs' "Conviction List - Directors' Cut," the bank's list of the best buy-rated equities, the investment giant said on Friday. Following the announcement, Apple shares dropped 0.8%.

Despite the change, Goldman analysts argue that the market's focus on the slowing growth of product sales ignores the robustness of the Apple ecosystem and the steady and predictable growth of related revenues.

As per the note, "Analysts view cyclical headwinds to product revenue, such as a reduced iPhone unit demand from a lengthening replacement cycle and reduced consumer demand for the PC & tablet category, as more than offsetting Apple's installed base growth, secular growth in services, and new product innovation."

Goldman emphasised that several events, including analysts changing their minds after losing faith in their initial judgement or a stock hitting the expected price goal, might cause a stock to be removed from their Conviction List.

(Sources: investing.com, reuters.com)