Apple is slipping after Morgan Stanley said iPhone demand is dwindling (AAPL)

pulse

April 20, 2018 4:14 PM

Apple is slipping on a Morgan Stanley downgrade. See what else is putting pressure on the stock.

The smartphone market at large may be seeing a drop in demand, as Taiwan Semiconductor reported a weak sales outlook Thursday.
And LG Display, a smartphone screen maker, is having manufacturing problems and isn't producing enough screens.
Watch Apple stock in real time here.

Apple shares are falling Friday, dropping more than 3% to an intraday low of $166.74.

That's after Morgan Stanley analyst Katy L. Huberty downgraded the stock, citing softer iPhone demand in China, which could lead to a weak June.

Huberty lowered her iPhone shipment estimates by 7 million, citing "continued weakness in China data." She also lowered her June quarter iPhone shipment estimate to 34M, which is 20% lower than Wall Street's consensus.

Huberty lowered her price target from $203 a share to $200 a share, but did say to "buy any post earnings dip."

In related news, The Wall Street Journal reported that South Korea's LG Display is struggling to produce enough high-end smartphone screens, as the company is experiencing manufacturing problems.

Also, a weak sales outlook Thursday from Taiwan semiconductor suggested that smartphone demand is dropping.

Apple is down 2.47% this year.

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