Apple shares fell on Tuesday, after the company released a warning that the coronavirus outbreak would cause it to miss its guidance range this quarter. The warning was not entirely unexpected, as Apple has been dealing with the consequences of the virus outbreak for several weeks now with some manufacturing delays and the closing of retail stores in China.
Analysts conceded the uncertainty and risk stemming from the virus in China, a country that is both a key part of Apple’s supply chain and a major source of revenue; nearly 17% of Apple’s 2019 revenue came from the country, according to data compiled by Bloomberg. However, they also argued that the impact from the virus would be temporary, and they still see reasons to be bullish over Apple’s long-term prospects. A similar argument was extended toward several Apple suppliers.
MacDailyNews Take: Maybe we’ll get a nice AAPL discount sale from this Apple coronavirus warning ahead of the multi-year 5G iPhone super cycle set to begin later this year.