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Pros: As Citi Turns Sour, Time to Rethink Apple?

It appears the Street has soured on Apple. Another downgrade begs the question – are Apple's best days over?

Citi analyst Glen Yueng slashed his rating from 'Buy' to 'Neutral' and dropped his price target to $575 citing diminishing hype around the iPhone 5 and improving competition in smartphones.

On the news shares slipped below the psychologically important $500 level - it was the first time that happened since February.

Has the dynamic in this stock change? Or should you buy while you have the chance?

Strategy Session with the Fast Money traders

Trader Stephanie Link, director of research at TheStreet, sees opportunity. Although she sold out of her position around $584, she believes Apple is appealing if you're looking for a trading stock – one that will bounce around a range. "And in the low 500's, I think it's attractive," she said.

Trader Josh Brown, author of The Reformed Broker blog, shares the view. He called Apple an oversold name and suggested momentum had dragged down shares – not fundamentals. "There are things that are not internal to the business that's causing the decline."

Apple
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If you have a longer time horizon, both traders Joe Terranova, chief market strategist for Virtus, and Stephen Weiss, managing partner at Short Hills Capital, think Apple belongs on your radar. "Right now I'd sit back and wait," said Terranova, "and see what they say after they report in January."

"Apple is going through a settling period," added Weiss. "But I still like the stock long-term."

Read More: Apple Bears May Need a New Thesis

Trader disclosure: On December 17,2012, the following stocks and commodities mentioned or intended to bementioned on CNBC's "Fast Money" were owned by the "FastMoney" traders; Josh Brown is long AAPL; Josh Brown is long WFC; Josh Brown is long GDX; JoshBrown is long GLD; Josh Brown is long XLU; Josh Brown is long XLF; Josh Brownis long WMT; Josh Brown is long TGT; Josh Brown is long SBUX; Steve Weiss is long SCCO; SteveWeiss is long BAC; Steve Weiss is long JPM; Steve Weiss is long RIMM; SteveWeiss is long C; Steve Weiss is long QCOM; Steve Weiss is long SWKS; Joe Terranova is long VRTS; JoeTerranova is long TJX; Joe Terranova is long AAPL; Joe Terranova is long YUM;Joe Terranova is long SWN; Joe Terranova is long GLW; Joe Terranova is longDELL; Joe Terranova is long VZ; Joe Terranova is long XOM; Stephanie Link is long AAPL;Stephanie Link is long GS; Stephanie Link is long WFC; Stephanie Link is longSBUX; Stephanie Link is long CAT; Stephanie Link is long SLB; Stephanie Link islong VALE


For Glen Yeung
Citigroup Global Markets Inc. owns a position of 1 million USD or more in thedebt securities of AAPL
Citigroup Global Markets Inc. or an affiliate received compensation forproducts and services other than investment banking services from AAPL
Citigroup Global Markets Inc. currently has, or had within the past 12 months,the following as investment banking client: AAPL
Citigroup Global Markets Inc. currently has, or had within the past 12 months,the following as clients, and the services provided were non-investment-banking,securities-related: AAPL
Citigroup Global Markets Inc. currently has, or had within the past 12 months,the following as clients, and the services provided were non-investment-banking,non-securities-related: AAPL
The Firm is a market maker in the publicly traded equity securities of AAPL