Cramer says Monday’s Apple rally has no ‘resistance’

CNBC’s Jim Cramer was wary AppleMonday’s rally, which he said was boosted by an analyst upgrade. He said the gains may not last and investors should wait to buy.

On Monday, Bernstein’s Toni Sacconaghi upgraded the stock from neutral to buy and said it was time to “buy fear.” Sacconaghi suggested the stock was too cheap, saying it was set up for a “strong iPhone 16 cycle” and that its weakness in China was “more cyclical than structural.”

“Unlike Toni, I want you to hold Apple, not trade it, although I suspect this quarter will be weak and the next will be worse,” Cramer said. “But I agree with him that you should buy the shares – I just think you have to wait, because now you have a Saccconaghi spike on top of what could be a bad quarter.”

The iPhone maker is expected to report earnings Thursday evening, and Wall Street’s expectations are low. But the stock saw its shares rise on Monday, closing up 2.48%.

Cramer said he wasn’t trying to ignore Sacconaghi, whom he called a “really great analyst,” but said he was an “Apple skeptic” who doesn’t analyze the stock accurately . Cramer added that “it seems a little suspicious” that this moment was when Sacconaghi “get on the train” for Apple.

“Apple rallied thanks to an upgrade from an analyst who historically doesn’t have a great understanding of this particular stock,” Cramer said. “It’s a much less inspiring type of rally, with no endurance to speak of.”

Apple did not immediately respond to a request for comment. CNBC also reached out to Sacconaghi.

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Disclaimer The CNBC Investing Club Charitable Trust owns shares of Apple.