Wall Street is getting worried about an iPhone delay

Wall Street’s anxiety about iPhone delays is growing.

Bank of America Merrill Lynch on Wednesday slashed its forecast for full-year shipments of Apple’s iPhone by 11 million, citing worries about possible manufacturing hiccups.

In particular, the analysts said there have been issues with new fingerprint-recognition features and 3D facial recognition technology.

Citing those same problems, a Tuesday report by Fast Company said Apple engineers have been working around the clock to fix them, and that workers have been gripped by “a sense of panic” that they might miss the launch deadlines.

Apple hasn’t announced a release date for the new iPhones — whose latest flagship model could be called the iPhone 8 or possibly the iPhone X — but they typically launch in September.

Earlier reports from RBC Capital Markets, Cowen, KGI and Drexel Hamilton have said the new iPhone launch could be delayed to October or November.

“Our conversations with the supply chain suggest that the iPhone 8 will ship 3-4 weeks delayed given technological issues which Apple and its suppliers are working through,” BAML analysts Wamsi Mohan and Stefano Pascale said in a Wednesday report, citing a recent trip to Asia.

The analysts kept their buy rating on the stock.

Apple didn’t immediately respond to a request for comment.

The BAML analysts cut their estimates by 11 million for shipments in the September quarter, which marks the end of Apple’s fiscal year. For the December quarter, the analysts cut their estimates by 6 million.

At the same time, the analysts raised their estimates for the March 2018 quarter by 10 million and said they expect 2018 shipments will rise to 243 million.

Source: http://nypost.com/2017/07/12/wall-street-is-getting-worried-about-an-iphone-delay/

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