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This Analyst Confirms Apple To Use Qualcomm Chips In Next Gen iPhones And More

Published 28/06/2022, 20:56
Updated 28/06/2022, 21:40
© Reuters.  This Analyst Confirms Apple To Use Qualcomm Chips In Next Gen iPhones And More

  • TF International Securities analyst Ming-Chi Kuo tweeted that Apple Inc (NASDAQ: NASDAQ:AAPL) will retain Qualcomm Inc 's (NASDAQ: NASDAQ:QCOM) chips in next-generation iPhones after Apple possibly faced issues with its chips.
  • Her latest survey indicates that Apple's iPhone 5G modem chip development may have failed.
  • Therefore, Qualcomm will remain the exclusive supplier for 5G chips of 2H23 new iPhones, with a 100% supply share, up from the previous estimate of 20%.
  • Also Read: Piper Sandler Lists Reasons Behind Its Optimistic View On Qualcomm
  • She expected Qualcomm's revenue and EPS in 2H23-1H24 to beat market consensus due to its sole supplier position for 5G chips of 2H23 new iPhones as Qualcomm remains irreplaceable.
  • She believes Apple will continue to develop its own 5G chips.
  • However, by the time Apple replaces Qualcomm, Qualcomm's other new businesses should have grown enough to significantly offset the negative impacts caused by the order loss of iPhone 5G chips.
  • The Supreme Court recently overruled Apple's bid to revive its patent dispute with Qualcomm.
  • Price Action: QCOM shares traded higher by 3.55% at $131.69 on the last check Tuesday.
Mar 2022 Barclays (LON:BARC)MaintainsEqual-Weight
Feb 2022Tigress FinancialMaintainsStrong Buy
Jan 2022 Credit Suisse (SIX:CSGN)MaintainsNeutral

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© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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