“Dialog Semiconductor this week cut its December quarter guidance by 11 percent compared to prior guidance,” Neil Hughes reports for AppleInsider. “That led some investors to speculate that the cuts could be related to lower-than-expected iPhone sales.”
“Analyst Gene Munster of Piper Jaffray doesn’t share those concerns, however,” Hughes reports. “He issued a note to investors saying that he sees little risk to Apple’s own December quarter.
Apple has previously said, and we would agree, that individual component suppliers are not indicative of the health of the overall iPhone business. — Piper Jaffray analyst Gene Munster
“Regardless of any current supplier maneuvering, the performance of the iPhone 6s product cycle may not mean as much for Apple on Wall Street in the long run, Munster said,” Hughes reports. “Feedback he’s heard from investors appears focused on whether the iPhone can continue to grow with an anticipated redesign in 2016.”
Read more in the full article here.
MacDailyNews Take: We remarked yesterday about the Dialog Semi warning with the following quote:
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
Clear-eyed Apple investors can see the forest for the trees.
SEE ALSO:
Apple stock slumps on Dialog Semi warning – December 15, 2015
AAPL discount buying opportunities are always appreciated.
I guess the whole is greater than the sum of the parts.
This is the same bogus story involving Apple and Dialog that brought AAPL down ahead of last earnings call – and then Apple reported growth, not contraction. It is that craptastic CNBC that keeps misrepresenting that Apple accounts for about 75% of Dialog’s revenue – simply can’t be true if they report their numbers down while Apple numbers go up. Other suppliers perhaps duh?
Apple has previously said, and we would agree, that individual component suppliers are not indicative of the health of the overall iPhone business. — Piper Jaffray analyst Gene Munster
Wow. Gene with a useful insight.
We know Gene. But thanks for pointing it out. We can all give up on the WallNut Street coke addicts getting the clue. But it’s worth pointing out anyway.
Told ya kids. AAPL hits $109 today. Buy buy buy. Jumps to $111. Let’s see how long binge this lasts…
This same garbage is repeated over and over and yet Apple’s share price falls each time. With the right media people they can hurt any company they want, but Apple’s rivals are being left alone. Only Tim Cook puts up with this nonsense or he’s the only one they’re attacking. Apple could easily afford to buy its own news media company and do a little manipulation for its own benefit.
I’ll go along with Apple’s share price staying down as long as Apple still has buyback cash to spend. I’m not sure I’ll get anything out of it but if disappearing shares and a higher EPS can help in the future then I’ll simply have to tolerate the Apple-bashing deliberately meant to hold Apple’s share price down.
“Only Tim Cook puts up with this nonsense or he’s the only one they’re attacking.” . Wall Street wants to put their own man to run Apple. This particular man will bankrupt Apple like former CEO John Scully.
Apple isn’t the fledgling computer company which needs money from a competitor to stay in business. There are billions at stake. I surmise there could be multi-billion dollar lawsuits in the works against Apple’s board of directors for failure of good faith. Apple’s management has had extremely poor communication with the market over the last year. This failure has led to serious declines in the stock price. It wasn’t until the stock dropped over thirty percent that management finally opened their mouths and refuted the mantra that China sales were in the toilet.
Over the last few months, there has been insistent banter from some that contend iPhones sales will decrease in the near-term. This is contrary to Apple’s guidance, yet the chorus of decline has failed to abate. Apple’s management has for the second time this year failed to answer these allegations in a timely manner. As a result of this management failure, the stock has floundered like a dying fish over the past three years. Not achieving maximum shareholder value by obfuscating the market with silence could be considered by some a breech of fiduciary responsibility.
Fiduciary responsibility can not be measured strictly by looking at a stocks price at one moment in time.
There may be actions taken by the company that are not necessarily good for immidiate stock price, but benificial in the long run.
Its all relative to where ones horizon is drawn.
And Tim has repeatedly stated ” apple is run with the longterm as priority”
Now Lets go back to one very simple fact.
If you were going to buy billions of dollars of something.. Would you encourage the price of that thing to go up.. Or you would you hope the orice drops further?….
Its just a thought and theory of mine and many others that as far as Apple is concerned this pps drop helps their buyback.. Without effecting anything else in their operations.
And if they are able to buy loads more of the shares due to this lower pps.. Then in the long run the stockowners will benefit from that..
Fiduciary duties accomplished.
“Over the last few months, there has been insistent banter from some that contend iPhones sales will decrease in the near-term.”
Predictions that we have reached ‘Peak iPhone’ have been made every quarter for several years now and they have always proved to be completely untrue when actual sales numbers have been released.
For at least the last three years, supply chain checks have reported slowdowns of component orders from certain manufacturers at this time of year, but the actual sales numbers continue to rise.
Just how many times can the same wholly incorrect rumours be repeated and still be acted upon by speculators?