JP Morgan: iPhone supply chain looks to be stabilizing after weaker than expected holiday quarter

“In a note to investors provided to AppleInsider, JP Morgan advises it analyzed the finances of firms in the iPhone supply chain, observing what it calls a seasonal deceleration for January,” Malcolm Owen writes for AppelInsider.

“While down on a sequential monthly basis, JPM notes that on a year-on-year analysis, aggregate revenue rose by 2 percent in January. The same metric in December showed a 4 percent decline, but in November it was up 9 percent,” Owen writes. “According to JP Morgan, it believes the small improvement in January ‘could be early signs of a stabilization.'”

“As a whole, the global smartphone market declined by ‘low-single digits’ for the entire year of 2018, including a ‘mid-single digit’ decline for the fourth quarter,” Owen writes. “A 6 percent decline in global shipments in the fourth quarter is said to imply a 2 percent year-on-year decline on full year shipments. ”

Read more in the full article here.

MacDailyNews Take: If true, there’s some good news for Apple, Apple suppliers, and, likely, Apple investors as the market seems to prefer stability over uncertainty.

2 Comments

  1. Resorting to ridiculous exaggeration just undermines your credibility, Sean.

    IF you max out the storage on an iPhone XS Max AND purchase the fancy AppleCare with Theft/Loss and include sales tax, then the total is US$1,867.54. You cannot inflate the price to $2000, at least not in the U.S. But that is the highest of the high end.

    The last that I saw, the ASP for the newest series of iPhones is around $860 or so. Granted, that is still pretty high and well above the $399-$499 range that the iPhone stayed in for years, but it is not $1500 or more.

    In addition, it is utterly ridiculous for you to state that iPhones “…haven’t changed significantly in 4-years.”

    If you want to make a point, try using reason and legitimate data. Trust me, the world does not respond to your emotions or your gut instincts.

    1. I agree with Sean on this. The changes Apple has made since the iPhone 6 have been mostly nothing burgers. There are car companies more nimble than Apple.

      Name one functional thing that the latest iPhone can do that an iPhone 6, 7, 8 can’t do just about as well. There isn’t anything fundamentally better about the overpriced X models. In fact, losing touchID is a major step back to many of us.

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