Rumors of cut production of iPhone 13 caused shares of Apple suppliers to fall

This week, informed sources said that instead of 90 million new-generation iPhones, Apple will be able to release at most 80 million smartphones by the end of the year. This news pulled down the stock prices not only of Apple itself, but also of many companies involved in the supply of components for assembling the iPhone 13. In some cases, the value of the decline in the share price exceeded 5-6%.

Image source: Bloomberg

Image source: Bloomberg

At least as reported Bloomberg, by 5.6% fell the value of shares of Japan Display – a company that receives more than half of its revenue from Apple. LG Innotek shares were down 6.2%. Shares of Broadcom fell 1.4%, while Qualcomm’s shares gained 1.3% after the close of trading was helped by information about the intentions of this developer of processors and telecommunications components to buy back its own shares in the amount of $ 10 billion. 2.53%.

The trend was typical for Asian stock markets as well. For example, AAC Technologies Holdings, a supplier of acoustic components, lost more than 10% in Shanghai trading after a warning of declining earnings due to supply disruptions. Chip packaging maker ASE Technology sits up to a third of its revenue from Apple, and its operations in China were disrupted last month by government-mandated power outages. These events also have a negative impact on Apple’s ability to ship the planned number of finished products this quarter.

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Johnson Smith

Johnson Smith is interested in Home Theater & Audio, Smart Tech, Google News & Products, How To, Apple News & Products, Cell Phones, Automotive Technology.

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