iPhone 5 order cuts simply noiseJanuary 15 - 9am
Speculation that Apple was planning to make significant cuts to iPhone 5 orders have been widely dismissed by Wall Street experts, who branded the rumours as simply ‘noise.’
Shares in the world’s most valuable company took a hit at close of play on Friday, as reports suggested order cuts were on the way for Apple’s flagship product.
But Wall Street has hit back, claiming the rumours are ‘not news’, no doubt fueling an overreaction by investors for no reasons.
Analyst Mark Moskowitz told Apple Insider that any order cuts cut actually show an improvement for the company, saying:
“In our view, the potential order cuts are a direct result of manufacturing yields improving following the fast-and-furious product roll-outs of the iPhone 5 as well as new iPads and Macs,” he said.
Wells Fargo senior analyst Maynard Um echoed the claims, saying he’s also unfazed by the rumours and that claims Apple were planning to order 65 million screens in the March quarter as “unrealistic.”
“The likelihood that Apple would have shipped 65 million iPhone 5s for the March quarter would have been minuscule, in our opinion,” he told Apple Insider.
Um instead forecasts Apple to sell around 43 millions iPhones during the March quarter.