Even though research company UBS claimed it has observed indications of reducing wait times for the iPhone 14 Pro and iPhone 14 Pro Max in 30 countries, Apple (NASDAQ:AAPL) stock slid about 2% to $143.86 in midday trading on Tuesday, signaling that the supply chain headwinds the tech giant grappled with are beginning to lessen.
The wait periods for both high-end iPhone 14 models in the United States are now down to around 25 days, down from 38 days two weeks ago. This is according to an analyst named David Vogt, who has a buy recommendation on Apple stock and a price objective of $180. In China, wait times have decreased, but not significantly, to 36 days, down from 39 days last week and two weeks ago. This marks a fall from both of those periods.
Suppose the trend keeps improving at the same pace. In that case, it may be conceivable for buyers in the United States to get their hands on an iPhone 14 Pro or an iPhone 14 Pro Max by the time Christmas rolls around.
In a letter to clients, Vogt said that although the trend is a nice reprieve, the market is likely to assess the December and March quarters in aggregate compared to last year to measure underlying demand. “While the trend is a pleasant respite,” Vogt said.
The market researcher went on to say that demand for iPhones has been “mostly durable” and that there is only a “small” amount of customers who are prepared to move away from the Apple (AAPL) ecosystem. He anticipates that 144 million iPhones will be sold over the next two quarters, which would put the figures on par with those of the previous year.
At the beginning of November, Apple stock warned that supply chain challenges in China caused by the country’s stringent COVID-19 laws will result in fewer iPhone 14 Pro and Pro Max shipments than was initially projected.
On Monday, it was reported that in an attempt to continue diversifying away from China, tech giant Apple stock was reportedly contemplating the possibility of transferring some manufacture of its famous iPad tablet to India.
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