Well it seems to be that JP Morgan is not so wild about the potential of the Apple Watch. The analysts who have slashed their estimates in regard to Apple Watch for the 2016 fiscal from 23.5 million units to 11.9 million units shipments. They also went on to add that they see around 7% of the wearables penetrating into the base addressed at the end of 2017 instead of the 15% assumption previously made.

An analyst of JP Morgan, Rod Hall had told the Fast Money: Halftime Report of CNBC that recently it has been seen the weakening of the demand of the Apple Watch too much lesser than what had been anticipated by them.

He also went on to say that they feel that the product is a good one and the fact that it is yet to be figured out by people as to what they plan to do with the watch. All the clients also received a note that was released by JP Morgan where the estimates of the Watch had been lowered by them. Even the share target price of Apple had been reduced from $125 to $105.

The new price that was targeted has been mentioned by JP Morgan in the note. This was done on the basis of valuation done between the price to earnings, and taking 10 times more than that. This does not include the cash. Presently the discount has been given for peer trading who are considering buying Apple shares with a 12.7x average. It is sad due to the challenging fundamentals which are short term, it is possible that the stock may be driven to lower expectations and are presently reset based on the macro reality. They also went on to say, that there is additional growth that can be seen when talking about Apple.