Analyst sees iPhone revenue to be negatively impacted by camera module shortages
Shortage of camera modules will impact iPhone sales during the holiday quarter
The analyst has lowered his fiscal first-quarter earnings estimate for the tech giant and while investors should be wary of this, the way Wall Street works is that once the report is announced and the earnings shortfall is disseminated, all of the sellers will have already exited leading to a rally in the shares. In fact, Chatterjee is already talking up future reports from Apple after the holiday quarter’s results are released.
The analyst’s latest data calls for Apple to sell through 58 million handsets during the fiscal fourth quarter, topping original forecasts by 3 million units. Again, most of this quarter took place before the iPhone 13 release and the iPhone 12 was the main driver during that period. For the holiday quarter, the analyst now expects to see 78 million iPhone units rung up. But that is down from the original estimate of 82 million because of supply chain shortages.
JP Morgan has a $180 12 month target on Apple’s shares
As a result, JP Morgan now expects Apple to announce that it garnered $46 billion in iPhone revenue during the fiscal fourth quarter and $63 billion during the fiscal first quarter of 2022. The latter is down from original forecasts of $69 billion in gross.
