Even Apple might feel the effects of Brexit
Reuters
Investors apparently didn't like that. Apple shares were down 1.13% to $94.81 during trading on Tuesday.
Turns out, it's not necessarily Apple's fault. Blame Brexit.
In the note, Citigroup Global Markets analyst Jim Suva wrote that macroeconomic uncertainty following the British vote earlier this month was one major reason why he cut his projections for iPhone sales this quarter.
The economic uncertainty, he argues, means that people who would normally upgrade to a new iPhone might hang onto theirs longer.
He writes:
We are lowering our estimates for June and September quarters given potential for lower demand from macro uncertainty (Brexit related), currency volatility and lengthening replacement cycles.
He expects Apple to sell 40.3 million iPhones, down from a previous estimate of 41 million iPhones. In the year-ago quarter, Apple sold 47.5 million iPhones.
Apple doesn't provide guidance for iPhones sold, but CEO Tim Cook said that it expects to pull in between $41 billion and $43 billion in revenue this quarter.
Of course, Brexit isn't the only reason that iPhone users are holding onto their old devices longer. It's a general trend across the smartphone industry, and was apparent for Apple far before Brits voted to leave the European Union.
citi
Apple reports financial results on July 26. Citi gives Apple stock a buy rating and a target price of $115.
- US buys 81 Soviet-era combat aircraft from Russia's ally costing on average less than $20,000 each, report says
- 2 states where home prices are falling because there are too many houses and not enough buyers
- A couple accidentally shipped their cat in an Amazon return package. It arrived safely 6 days later, hundreds of miles away.
- Rupee declines 5 paise to 83.43 against US dollar in early trade
- Election Commission issues notification for sixth phase of Lok Sabha polls
- 6 Coffee recipes you should try this summer
- "To sit and talk in the box...!" Kohli's message to critics as RCB wrecks GT in IPL Match 45
- 7 Nutritious and flavourful tiffin ideas to pack for school