According to a senior research analyst at Robert W. Baird & Co., Wall Street estimates for Apple Inc. (NASDAQ:AAPL) earnings are still too bullish.

This Friday Will Power said that the stock can’t move sustainably higher until the realistic earnings estimates come down. A note from Baird predicted that Apple would report earnings per share of $7.46 for the fiscal year 2017, which is far below the consensus estimate of $9.06, writes Tom DiChristopher for CNBC.

Baird Analysts Says Apple Inc. Earnings Estimates Too High

Baird analyst speaks out on Wall Street estimates

“It’s tough for stocks to work until you get them sufficiently reset to where you can at least meet, if not beat, estimates,” Power told CNBC’s“Squawk Box.”

Baird expects that 90-110 million units of the soon to be released iPhone 7 will be sold. This would represent a slight decline from last year’s initial procurement for the iPhone 6s. The smartphone segment is key for Apple.

For 2017 Baird predicts that iPhone shipments will drop 2.3% compared to 2016. This compares unfavorably to consensus estimates that predict a mid-single-digit increase, according to Baird, which noted data from FactSet.

iPhone 7 will play a huge role in Apple’s financial success

“Unfortunately, the iPhone 7, while I think it will be a nice upgrade, it doesn’t look like it will be a game changer,” Power said.

According to FactSet the consensus estimates predict that the price of shares in Apple will rise to around $122 per share, down from previous estimates of around $146. However Power predicts that the share price will rise to only $115.

Apple stock has dropped 9% this year, but rose slightly to $90.70 in early trading this Friday.

Investors and consumers alike are awaiting the next generation iPhone 7 with bated breath. It is thought that Apple will announce the new smartphone this fall, and it will go into a crowded market.

Apple is facing stiff competition from rivals including Samsung. Some analysts are predicting that Apple will make only minor changes to the iPhone 7, and bring in a major redesign next year. If this turns out to be true we could see a bit of a tough year for Apple as it struggles to entice iPhone 6s owners to make the upgrade to the new model.