ALB Limited 13.12.2022

Affect of the Chip Crisis on Apple


APPLE

The worldwide chip crisis over the last few years has also affected Apple. The 0 Covid policy, which has been applied for a long time in China, negatively affected the production of Apple's Foxconn factory, causing a deficit of 15-20 million in iPhone 14 production. Thereupon, it was decided by technology companies to establish a facility in Arizona by a Taiwanese company and to invest in this side in order to solve the chip crisis for themselves. Due to the reasons that negatively affected production, oppenheimer analysts reduced the target price to Apple from 190USD to 170USD. It is currently trading at 144.49USD. However, this problem can be resolved in 2023 with the change of Covid policy and the relocation of some productions.

Tags: Apple, Stocks

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