Analysts at Standard and Poors downgraded their rating on Apple stock from "Buy" to "Hold" - but also raised its stock target price on the company.

Analyst Scott Kessler told investors that the downgrade was a response to high expectations and the fact that Apple will report its results today.

However, Standard and Poors retains confidence in the stock, rasing its 12-month price target to $155 from $135.

Kessler wrote: "We believe Apple's fundamentals remain strong on marketshare gains in desktops and laptops, success with digital-media players and software, and notable inroads in the smartphone category."