Apple Inc. was downgraded at KeyBanc Capital Markets Inc., which said shares of the iPhone maker are trading near all-time high valuation levels though its sales growth is likely to slow.

“US sales are likely to struggle” on a challenging upgrade cycle for the iPhone amid slower consumer spending, analyst Brandon Nispel wrote in a note, cutting his rating on Apple to sector weight from overweight. In addition, “international growth expectations for reacceleration may be aggressive,” he added.

Shares of Apple are still up 33% this year, though they have retreated more than 12% from their July record high amid the tech selloff sparked by concerns over high interest rates. Last month’s unsurprising launch of new iPhone models has done little to help reignite the rally.

While early demand for the iPhone 15 Pro Max has been better than expected, it seems to reflect users shifting from the iPhone 15 Pro, Nispel wrote. While this will help lift the average selling price, it means little change in overall unit sales, according to the analyst.

Despite the weak outlook for its core product, Apple’s stock is still trading at “a large premium” to the Nasdaq in terms of historical earnings and cash flow multiples, Nispel said. Justifying such a level requires investors to apply “near-peak” valuations for Apple or for its growth outlook to improve, he added.