Apple Stock Slips As Key China iPhone Factory Hit By Covid Outbreak Reports - TheStreet

Apple  (AAPL)  shares slipped little Monday amid concerns that iPhone output from a cardinal mill successful China could beryllium curtailed by Beijing's strict 'zero Covid' wellness policies.

Foxconn, a cardinal Apple assembler liable for astir 70% of the tech giant's iPhone shipments, said Sunday it is moving towards establishing back-up accumulation facilities to compensate for mislaid output successful Zhengzhou, a 200,000-person factory, amid reports of workers fleeing that city's caller Covid restrictions and suggestions of a surge successful onsite infections.

The Taiwan based company, however, stated that reports of 20,000 infections astatine the Zhengzhou were false. 

Reuters reported Monday that November accumulation successful Zhengzhou could autumn by arsenic overmuch arsenic 30%, with plans for a boost successful output successful Foxconn's Shenzen mill to mitigate the slump present underway.

Apple CEO Tim Cook said past week that iPhone request has remained healthy, but noted that proviso constraints for some the 14 Pro and the 14 Pro Max continued to persist heading into the cardinal vacation season.

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Apple shares, which has their champion single-day league successful much than 2 years Friday, surging much than 7.5%, were marked 0.5% little successful pre-market trading to bespeak an opening doorbell terms of $154.97 each.

Last week, Apple said iPhone revenues roseate 9.6% from past twelvemonth to $42.62 cardinal implicit the 3 months ending successful September, missing the $43.2 cardinal Street forecast. Overall revenues, however, roseate 2% from past twelvemonth to an all-time precocious of $90.15 billion, helping Apple to a better-than-expected 4 4th net tally of $1.29 per share.

"We did amended than we anticipated, successful spite of the information that overseas speech was a important antagonistic for us," CFO Luca Maestri said, noting that December 4th income would endure a a 10 percent constituent year-on-year interaction from the surging U.S. dollar.

The world's biggest tech institution besides said vacation 4th revenues would dilatory from September levels, citing successful portion a 10 percent constituent year-on-year interaction from the surging U.S. dollar, which is trading adjacent 20-year highs against its planetary peers.