From Debby Wu and Takashi Mochizuki's "Apple Ditches iPhone Production Increase After Demand Falters" posted late Tuesday:
Apple is backing off plans to increase production of its new iPhones this year after an anticipated surge in demand failed to materialize, according to people familiar with the matter.
The Cupertino, California-based electronics maker has told suppliers to pull back from efforts to increase assembly of the iPhone 14 product family by as many as 6 million units in the second half of this year, said the people, asking not to be named as the plans are not public. Instead, the company will aim to produce 90 million handsets for the period, roughly the same level as the prior year and in line with Apple’s original forecast this summer, the people said.
Apple shares fell as much as 3.3% in pre-market trading on Wednesday. US stock-index futures also turned lower after the news, with contracts on the Nasdaq 100 down as much as 1.5%.
In Taipei, key chipmaker Taiwan Semiconductor Manufacturing Co. fell 2.2% and Apple’s biggest iPhone assembler Hon Hai Precision Industry Co. was down 2.9%, amid a wide selloff of electronics suppliers. ASML Holding NV, maker of advanced chipmaking gear, dropped as much as 3.2% in Amsterdam.
My take: Pre-earnings FUD? In any case, as Peter Elstrom tweeted, 90 million ain't bad...
It's worth unpacking this scoop from @debbywuintaipei and @6d6f636869 for what it does -- and doesn't -- say about iPhone demand. Apple is backing off an aspirational target of making as many as 96 million iPhone 14 devices this year ...https://t.co/SSIiHM1UOE via @technology
— Peter Elstrom (@pelstrom) September 28, 2022
Here she is last December with the same story line. No one, certainly not CNBC, ever calls here out for her past, very wrong reporting. As if she has never does this before
https://www.bloomberg.com/news/articles/2021-12-02/apple-tells-suppliers-iphone-demand-has-slowed-as-holidays-near?sref=M65jzF3E&leadSource=uverify%20wall
I stop reading most articles when the ‘journalist’ refuses to offer any clue about source. The phrase “according to people familiar with the matter” includes a farmer I know that bought some Apple shares a few years back after his beekeeper suggested he do so. The farmer even reads this source (Apple 3.0) now. He’s made way more on his Apple position than his actual apple, pear and persimmon trees so he stays informed about the fruit he can “harvest anytime he wants!”
You can look at it as buying opportunities.
Their “reports” are always out of context, “reliable sources” are always other media outlets, and all such reports are click bait.
Oh for the good old days when reporting was in limited print space, and was held to a higher standard.
Unreliable as noted by friends above.
Irrelevant since model mix increases revenue and profit.
I say within two weeks. Maybe one.
“… although Apple and probably Buffett are…buying up these discounted shares…”
Apple will close down open market purchases at the end of the quarter to avoid the appearance of insider trading. These shitheads know that. Yes, Apple also often does ASR’s. But those need to be set up well ahead of time. And yes, Apple does blackouts, not only for themselves but for their employees who have insider information.
It’s really up to we Apple longs to “police” things during the open market buyback blackout periods. If we can’t actually bring ourselves to buy during that period, we should at the very least try to avoid selling during it.
1. How many investors have knee-jerk reactions to unverified rumors;
2. How many investors apparently read/listen to Bloomberg.
An ancient proverb says “the simple believe every word, but the wise look well into the matter.”