Apple iPhone wait times seen hitting 'high-end' of extreme levels, UBS says

Ivan-balvan

Wait times for Apple’s (NASDAQ:AAPL) iPhone 14 lineup have continued to move higher in the wake of supply issues out of China and continued strong demand, investment firm UBS said on Wednesday.

Analyst David Vogt, who has a buy rating on Apple (AAPL), noted that UBS’s Evidence Lab, which tracks iPhone availability across 30 countries, has continued to rise and is now at an “extreme level,” including 34 days in the U.S. for the iPhone 14 Pro and iPhone 14 Pro Max.

In China, wait time at the high-end is at 36 days, up 10 days from last week.

“While our recently lowered 83 million Dec quarter iPhone unit estimate should reflect the recent disruptions, if the data does not improve over the next several weeks, we believe there is downside risk to iPhones despite the extra week in the quarter,” Vogt wrote in a note to clients.

The analyst added that December sees between 35% and 40% of all iPhone units in the quarter, raising the risk if supply is constrained in the month.

Apple (AAPL) shares saw fractional losses in premarket trading on Wednesday.

On Tuesday, it was reported that Apple (AAPL) CEO Tim Cook said the company would source some of its chips from Arizona as the company looks to diversify its supply chain.

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