Apple stock won’t be impacted by late shipments

May 24, 2017 16:37 GMT  ·  By

Apple is expected to announce an OLED iPhone 8 in September, together with the iPhone 7s and iPhone 7s Plus. Rumors about production problems regarding the iPhone 8 circulated earlier this year and it seems that they're back.

Apple Insider obtained a note to investors from Cowen & Company’s analyst Timothy Arcuri, who claims once again that the iPhone 8 could face delayed shipments. The analyst says that Apple intends to increase yields of the AuthenTec Touch ID solution, which is embedded into the display of the iPhone 8.

In addition, some possible problems with the layered motherboard of the iPhone 8 will push mass production from July or August to October or November. The analyst says that iPhone shipments in the fourth quarter will be lower than previous predictions of 47 million and will reach about 44 million.

The advantage is that the delayed shipments will result in iPhone sales going up to 90 million in the holiday quarter, while the analyst believes that estimates for 2018 sales are too low.

The average selling price of iPhones will increase

Arcuri also states that the average selling price is expected to increase to $626, even without taking the retail price of the iPhone 8 into account. This isn’t the first time that the analyst predicted delayed shipments for the next OLED iPhone.

Earlier this month, Timothy Arcuri said the iPhone 8 could arrive late for the same reason. Recently leaked images supposedly portraying a dummy iPhone 8 didn’t feature a Touch ID on the back, thus hinting at the fingerprint sensor being placed under the display. The bill of materials will thus increase, while the iPhone 8 is expected to feature a retail price higher than $1,000.

Aside from this, the iPhone 8 is also expected to come with a larger battery capacity, 3D facial scanner and wireless charging. Its edge-to-edge OLED display will have a 5.1-inch user space with virtual buttons at the bottom.