The recent rumors regarding decrease in orders for new iPhone terminals from Apple's partners also generated a serious drop in the price of the Cupertino-based company's shares on the American stock market, the analysts' confidence falling along with it.
In the last month, the value of Apple on the stock market fell by 100 billion dollars, while the share price fell below 100 dollars for the first time in 15 months, a sign that Apple is once again going through a very difficult period, as it happened a year and a half ago.
Apple is not the only American company whose shares have decreased in value on the stock market recently, but it is one of those for which the decrease is large, and American analysts speculate that Apple may have overestimated the demand for iPhone terminals last year.
Because of this, Apple is now forced to partially reduce the orders of new terminals to its partners and probably has quite large stocks of units in its distribution channel, the final effect being the serious drop in the share price and the scare of investors from all over the world.
We think the most likely reason for a shortfall is that the upgrader portion of unit demand has stalled significantly in recent months and is failing to meet Apple's own expectations. Management's confidence now looks highly likely to be misplaced, which suggests that it was either ignorant of the challenges it faced or deliberately overstating underlying trends.
Analysts accuse Apple's management of being far too confident that the premium smartphone market will continue to grow in 2015 and 2016, but so far they've been wrong, and the long-term outlook doesn't look all that great for Apple.
From now on, analysts will advise investors to avoid Apple and probably until the iPhone 7 is released, the share price will continue to fall, and then it will rise again and probably set new records, as happens once every 2 years for Apple .
