Loop Capital Sees No Impact from Shift in iPhone Orders

08 JULY 2022 - Whatever changes you’ve heard about upcoming iPhone builds will have “no material impact…” That’s the word from Loop Capital analyst Ananda Baruah. The analyst is likely referring to the back-and-forth between DigiTimes and TF International analyst Ming-Chi Kuo. Last week, DigiTimes ran a piece saying that Apple was cutting or had cut orders for iPhone 14 by 10% due to kinks in the supply chain. That got a big “nope” from Ming-Chi Kuo, saying build plans remained unchanged.

Now, a piece from Seeking Alpha (via Apple Stocks) has Baruah seeing a way they can both be right, kind of. The way that analyst sees it, Apple probably did shift the mix between iPhones 13 and 14 recently, but whatever they did will have no discernible impact over the next few quarters. And besides, other analysts are missing a big part of the iPhone story anyway. According to Seeking Alpha:

Baruah also pointed out that Wall Street “continues to materially under-model iPhone [average selling prices],” suggesting there is a good chance iPhone revenue in the next quarter tops estimates.

The way the analyst sees it, the Cupertino-company is “well positioned” to meet and maybe beat iPhone revenue for the next couple of quarters. Baruah has a “Buy” rating on Apple shares. His price target on the shares is $180.