Zacks senior stock strategist, Kevin Cook, wrote that Apple's stock is "headed down to at least test the May lows near $525".
"While I am a big fan of the company, its products, and its stock, there is no reason a trip to $500 and the 200-day moving average isn't in the cards of a descending price channel," he wrote.
To back up his prediction, Cook refers to the current economic instability: "We are still in the middle of a market correction driven by Euro-mess fears, deceleration in China, and US economic and 'fiscal cliff' worries."
"Yes, even the strongest stock can make a trip to the wood shed when markets get ugly," he writes.
However, Cook recognises the potential of the Apple stock, suggesting that what really drives Apple is "the earnings momentum".