iPhone unit estimates lowered at Raymond James following Qualcomm’s disappointing outlook
by Jennifer Booton
Apple Inc.’s iPhone estimates have been lowered yet again ahead of its quarterly earnings, this time triggered by a weak chip outlook by supplier Qualcomm Inc.
A number of reports from Apple AAPL, -0.65% suppliers in recent weeks have set off alarms that Apple could be headed for its first ever year-over-year decline in iPhone sales when it reports fiscal second-quarter earnings after the market’s close on Tuesday.
This week, Qualcomm QCOM, -0.48% which supplies chips to the iPhone 6 and Samsung Electronics’ 005930, -0.38% Galaxy 7 phone, reported a 19% decrease in chip shipments to 189 million and gave a weak chip segment outlook of between 175 million and 196 million, which implies a 13% to 22% year-over-year decrease.