(CercleFinance.com) – Apple fell more than 3% on Wall Street on Wednesday, to its lowest level since July, amid concerns about demand for its new iPhones.
According to information relayed by Bloomberg, Apple has given up on increasing production of the iPhone 14, on sale since the beginning of the month, due to weak demand from consumers.
“This is clearly bad news given the shaky economic environment and market jitters that could send a shock wave through Wall Street,” said Dan Ives, the analyst in charge of securities. technologies at Wedbush.
The professional evokes yet another disappointment for investors already worried about the sluggishness of the stock markets, fears exacerbated by the status of ‘darling’ that Apple enjoys with investors.
“We regret that the information that Apple is ‘renouncing to increase its production’ (…) eclipses the good news surrounding the demand for the iPhone 14 Pro which is materializing on the market”, tempers-t- it however.
Wedbush is indeed reporting ‘robust’ demand for the highest-end iPhone 14 model, which now accounts for between 85% and 90% of the device’s sales according to its calculations, compared to around 65% for iPhone 13.
“This means much higher selling prices and therefore a buoyant element for the 2022/2023 financial year”, underlines the analyst.
Around 11:00 a.m. (New York time), Apple shares fell 3.5%, marking by far the largest decline in a Dow Jones index, which rebounded 1%. In Europe, several Apple suppliers, such as STMicroelectronics (-2.8%), were also heavily penalized on Wednesday.
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