IT House May 2 (IT Home) -- Despite Apple's stern warnings on its latest quarterly earnings call, analysts are generally satisfied with the company's prospects.
Some analysts have warned that the iPhone may have a price increase outside the United States, and this may happen in all Apple products, especially this year's iPhone 14 series. But more analysts believe that even the price increase of Apple products will not have a negative impact on performance, so most people are optimistic.
Judging from the previous revelations, Apple's iPhone 14 series this year will eliminate the previous two generations of mini models and use a more high-end Max basic version. But from this point of view, this year's iPhone 14 pricing will obviously not be benchmarked against last year's iPhone 13 mini, so some people will naturally think that this year's iPhone will usher in a price increase.
▲ Schematic diagram of the Apple iPhone (14) series in 2022, the concept map does not represent the final effect
Apple reported record earnings for the second quarter last week, but Apple also warned that Apple lost $4 billion to $8 billion in this fiscal quarter due to supply constraints caused by supply chain disruptions related to the covid-19 pandemic and chip shortages.
background
Apple announced its earnings for the first quarter of this year (Apple's fiscal second quarter). Apple's revenue for the quarter was $97.3 billion, up 9% year-over-year, and the quarterly profit was $25 billion, earnings per share of $1.52. However, the company said the current quarter will be a tough one.
Apple CEO Tim Cook warned that Apple could lose $4 billion to $8 billion in revenue due to supply chain problems in the next quarter. Previously, a market intelligence report showed that there was still a shortage of Apple products in four categories.
Apple CEO Tim Cook outlined five reasons why third-quarter revenue is expected to take a big hit:
There is a shortage of spare parts
Supply chain disruptions caused by the shanghai pandemic
Exchange rate issues
Loss of sales resulting from exiting the Russian market
Inflation leads to a decrease in the spending power of users
Apple analysts are generally optimistic
PED30 aggregates the views of 13 Apple analysts, whose general consensus is "optimistic." Among them, Piper Sandler's report can well reflect the views of the majority.
Brief headwinds masked strong business trends. In our opinion, this guidance may be considered disappointing for all the adverse reasons.
In the June quarter, Apple was being affected by two temporary, non-operational issues:
1) 150 basis points of resistance brought about by the Russian sales ban,
2) 300 basis points of resistance brought by the Forex market.
In addition, the company has faced a $4 billion to $8 billion adverse impact on supply chain shutdowns and chip shortages caused by the COVID-19 pandemic in China. The company's fundamentals seem to be moving in the right direction, but the short-term impact is also distorting June's results.
But the iPhone may increase in price outside the United States
One analyst warned that when the iPhone 14 series launches this fall, iPhones outside the U.S. could see price increases.
Chris Caso said the exchange rate issue could be a long-term problem, and while pricing of Apple products could rise across the board outside the U.S., the timing was particularly unfortunate for the iPhone 14.
However, we think the situation with Forex and Russia will be more permanent, and now our concern is that if the exchange rate does not improve by the autumn, Apple may need to raise its price in local currency when the new product is released. Previously, when this happened, the increase in local pricing would have a negative impact on unit demand.