On Tuesday, Apple stock (NASDAQ:AAPL) hit a session low after a prominent analyst predicted that the tech giant’s shipments of the iPhone 14 Pro might be far lower than anticipated as it manages supply chain risks coming from China. Ming-Chi Kuo, an analyst at TF International Securities, stated in a tweet that shipments of the iPhone 14 Pro and iPhone 14 Pro Max might be between 15 and 20 million less than anticipated.
Due to the Zhengzhou iPhone plant labor demonstrations, Kuo noted, “there are significant downside risks to Apple & the iPhone supply chain.”
In response to the tweet, Apple’s (NASDAQ:AAPL) shares dropped over 2% to $141.31, bringing down the whole stock market.
Apple’s recent protests in China over its COVID-19 regulations have been noted by other analysts in addition to Kuo.
Apple Stock Outlook
Wedbush Securities, a financial services company, stated on Monday that the demonstrations that took place over the weekend in China as a result of the nation’s strict zero COVID-19 policy may have had a more significant effect on Apple’s iPhone manufacturing than initially thought.
Foxconn protests in Zhengzhou gave both Apple and Foxconn a bad name, according to Wedbush Securities analyst Dan Ives, who wrote in a research note. “The zero China Covid policy has been an utter gut hit to Apple’s supply chain.”
Depending on how the upcoming weeks in China go in terms of production at the Foxconn plant in Zhengzhou and protests around the nation, Ives projected Apple might see an iPhone shortage of 5% and possibly as high as 10%.
The analyst also stated that there have been “severe” shortages of the iPhone 14 Pro in numerous Apple retailers, with certain delivery dates being delayed until early January. These shortages have been as much as 40% worse than usual.
According to a Tuesday CNBC report, the restriction on citizens’ freedom of movement in Zhengzhou, where Foxconn’s primary iPhone manufacturing facility is located, was lifted at midnight on November 29, and “regular pandemic control procedures will be implemented.”
A production deficit of up to 6 million iPhone 14 Pro units could occur for Apple this week as a result of unrest at Foxconn’s Zhengzhou manufacturing facility, according to reports earlier this week.
According to Bloomberg, instability at Apple’s main Chinese manufacturing hub of Zhengzhou might cause the company’s (NASDAQ:AAPL) iPhone Pro production to fall short by as many as 6 million units. Early premarket trade saw Apple stock decline by 1.4%.
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Author Jowi Kwasu 
