Tuesday , January 19 2021

Apple's stock dries as concerns about slowing iPhone demand



Apple shares share Diving date at a low of 3 1/2 months, as a profit and revenue alert from an optical appliance supplier suggests investor concerns that the demand of iPhone could become weakened becomes a reality.

Apple Stock

AAPL, -4.36%

has grown 4.2% in the midday industry, putting it on track for its lowest winter since July 31. The stock has grown by 15.6% since its October 3 record of $ 232.07.

Meanwhile, Lumentum Holdings Inc. share

LITE, -30.67%

has plunged 29% down to 21 months, after the company said Monday before it was "recently received a request from one of the largest industrial and consumer customers for laser drinks for 3D detection to reduce the loads significantly "during its second financial quarter, which ends in December.

As a result, Lumentum squeezed its earnings-per-share guidance range to adjust for the quarter to $ 1.15 to $ 1.34 from $ 1.60 to $ 1.75 and to revenue forecasts to $ 335 million to $ 355 million from $ 405 million to $ 430 million. The previous guidance was provided less than two weeks ago, when the company reported the first quarter results before the 1st December 1.

Apple stock dropped 0.9% in premarket trade shortly before the Lumentum announcement, which fell to a decrease of over 2% immediately after the announcement, before extending a decline after the opening.

FactSet, MarketWatch

The reason for the sudden sale of the stock? Lack disclosed in August in its 10-K annual report file with the Securities and Exchange Commission that Apple was its largest customer, accounting for 30% of the total revenue for 2018 financial coming Ben June 30, representing less than 10% of revenue in 2017 financially and 2016.

In its 10-Q quarterly quarter earlier this month, Lumentum said that "Customer A" accounted for 30.5% of its total revenue.

Lumber to be listed in China-based Huawei Technologies and Ciena Corp.

CIEN, -2.29%

such as its largest customers, with both companies accounting for 11% of the total revenue. Ciena's shares slipped 1.7% on Monday.

The analyst of Wells Fargo, Aaron Rakers, suggested that Apple was the reason for reducing Lumentum's appearance. "We believe investors could consider the Lumentum update guide reflecting as much as a 30% cut in Apple orders," Rakers wrote in a note to clients.

D.A. Davidson's Mark Kellerher "we believe Apple" said the customer was asked for fewer alarms. He said there were a number of reasons for the 3D lack of sensory in revenue as his biggest customer, as a surplus list, loss of market share or just a less demand for iPhones. But given the sudden nature of the change of guidance provided just 12 days ago, "we believe demand for slower users for iPhones will be the most likely explanation," wrote Kellerher .

Lumentum told MarketWatch that she had no "no comment" beyond what was said in her press release. Apple has not responded to a request for comments.

Concerns that iPhone's slowdown would have been bullied after Apple's fourth quarterly quarterly release released after the 1st closure, where the company provided first quarter forecasts and said that it would no longer provide sales figures unit for iPhones.

Do not miss out: When things get tough, Apple hides its numbers.

Then there came to be reports that Apple had dropped plans for additional XR iPhone production lines and Skyworks Solutions Inc. Inc.

SWKS, -4.29%

blam "reduces unit in smartphone phones and China's overall software" for unwanted profit and sales prospects.

Monday, J.P. Morgan analyst Samik Chatterjee breaks its price target for Apple stock to $ 266 of $ 270, indicating fewer prospects for iPhone shipping for this year and next.

Apple stocks have accumulated 5.7% over the last three months, while the Nasdaq 100 Index is heavy-tech

NDX, -2.79%

has lost 7.3% and Dow Jones Industrial Average

DJIA, -1.85%

earned 0.9%.

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