Apple Inc.’s Asian suppliers and assemblers shares slipped on Tuesday after several component makers warned of softer than expected results, leading some market watchers to call the peak for iPhones in several major markets.
After a weak forecast earlier this month, analysts and investors voiced concern over the state of Apple’s business, contributing to growing worries that iPhone sales were stagnating and could hurt suppliers.
New warnings on Monday from screen maker Japan Display Inc, Lumentum Holdings Inc, which is the main supplier of the Face ID technology in the newest generation of iPhones, and British chipmaker IQE could damage technology stocks in Asia on Tuesday.
Taiwan-based assembler Hon Hai Precision Industry Co Ltd slipped more than 3 percent. Competitor Rival Pegatron Corp dropped more than 5 percent but then recovered losses. Both companies count Apple as a key customer.
The world’s biggest contract chipmaker, Taiwan Semiconductor Manufacturing Co slipped 2.6 percent, while Flexium Interconnect Inc. was lower 1.5 percent. The Taiwan Weighted Index was lower around 1.6 percent.