Apple shares drop amid reports of low demand for iPhone X

BEIJING/SAN FRANCISCO, Dec 26 (Reuters) – Shares in Apple Inc and several of its Asian suppliers fell on Tuesday after a report by Taiwan’s Economic Daily and comments from some analysts suggested iPhone X demand could come in below expectations in the first quarter.

Apple will slash its sales forecast for the iPhone X in the quarter to 30 million units, the newspaper said on Monday, citing unidentified sources, down from what it said was an initial plan of 50 million units.

Apple has not publicly disclosed quarterly sales targets for the iPhone X, which went on sale in November at a base price of $999 in the United States. An Apple spokeswoman said the company does not comment on market rumors.

Shares of Apple surged 45 percent this year before the iPhone X launch as investors anticipated interest from iPhone users who had gone years since buying a new one.

Shares of Apple have edged slightly lower since the iPhone X debut. They fell 2.5 percent to $170.57 on Tuesday.

During a trip to China this month Apple Chief Executive Tim Cook said he “couldn’t be happier” with the demand for the iPhone X in the country. The company also had described pre-orders for iPhone X as “off the charts.”

Varying estimates

Estimates of how many of the new phones Apple is making, and how many it will sell, vary widely.