Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

iPhone Production Cuts May Weigh On Apple’s Key Holiday Quarter

Stock Markets Oct 13, 2021 06:18AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. iPhone Production Cuts May Weigh On Apple’s Key Holiday Quarter

(Bloomberg) -- A possible reduction in iPhone 13 production targets for 2021 could hurt Apple Inc (NASDAQ:AAPL).’s revenue for the key holiday quarter, analysts say.

The likely cut to output goals, reported by Bloomberg just as U.S. markets closed Tuesday, may cause sales to miss projections in the October-December period, Bank of America Corp. analyst Wamsi Mohan said in a note.

While BofA expects the technology giant’s September quarter sales to beat estimates, “constraints could more meaningfully impact the December quarter, where we expect Apple to come in below consensus,” said Mohan, who has a neutral rating on the stock.

Apple fell 0.6% in premarket trading, pushing the stock into correction territory, having fallen more than 10% from a September record. The company is the latest to face a setback from semiconductor supply constraints, which has been affecting industries from cars to phones. However, analysts at many Wall Street banks remain bullish on Apple, saying iPhone demand remains robust.

Apple’s potential production cuts also dented stock prices of suppliers such as Skyworks Solutions (NASDAQ:SWKS) Inc., STMicroelectronics NV and Japan Display Inc. The ripple effects extended from Asia to Europe to North America.

“If Apple can’t meet near-term demand, the shortfall is likely to be even greater at competitors,” said Morgan Stanley’s Katy Huberty, adding that the most significant bottleneck is probably in camera modules for iPhone 13 Pro and iPhone 13 Pro Max.

©2021 Bloomberg L.P.

 

iPhone Production Cuts May Weigh On Apple’s Key Holiday Quarter
 

Related Articles

Russian rouble nears 4-week high versus dollar
Russian rouble nears 4-week high versus dollar By Reuters - Aug 19, 2022

(This content was produced in Russia where the law restricts coverage of Russian military operations in Ukraine) MOSCOW (Reuters) - The rouble firmed to a near four-week high...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email