“Apple is trading lower in pre-open action (-2%) after Credit Suisse noted substantial supply-chain cuts in Asia,” StreetInsider reports.
“The Credit Suisse Asia Technology Team has noted that iPhone supply chain orders have weakened recently,” StreetInsider reports. “Apple has lowered its component orders by as much as 10% according to the research.”
StreetInsider reports, “‘In our view, the continued weak supply chain news could weigh on Apple shares for the next few weeks/quarters,’ analyst Kulbinder Garcha said.”
Read more in the full article here.
MacDailyNews Take: In your view, Kulbinder? You can’t see the forest for the trees. Why not try listening to what the CEO tells you instead?
Those who are interested in actually analyzing companies vs. fomenting low-information investor sentiment against them, are those who listen to what Apple’s management tells them:
Even if a particular data point were factual it would be impossible to accurately interpret the data point as to what it meant for our overall business because the supply chain is very complex and we obviously have multiple sources for things, yields might vary, supply performance can vary. The beginning inventory positions can vary, I mean there is just an inordinate long list of things that would make any single data point not a great proxy for what’s going on. Apple CEO Tim Cook, January 23, 2013
Analysts who keep trying to analyze Apple using single data points are doomed to failure.
