The market clearly is not impressed by Apple Inc AAPL 1.15%’s Q1 earnings report, and the stock of the world’s largest company is down 6 percent in Wednesday’s session. But Apple’s ecosystem is so large that its earnings impact a whole slew of suppliers as well.
Although Q1 iPhone numbers came in ahead of estimates, iPad and Mac numbers were weak, and Apple’s sales guidance of $41-43 billion came up well short of consensus estimates of $47.3 billion.
Despite the rough report, top Apple suppliers were performing relatively well in Wednesday’s trading session. Skyworks Solutions Inc SWKS 6.91% was down just 2.4 percent and Broadcom Ltd AVGO 1.51% was off 1.7 percent.
Cirrus Logic, Inc. CRUS 0.91% is actually experiencing a relief rally and surged 5 percent in Wednesday morning’s session.
Oppenheimer analyst Rick Schafer believes pricing pressures may be impacting Apple suppliers even more than the total unit number.
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