Stable lead times for the shipment of Apple’s iPhone, Mac, Apple Watch, and AirPods suggest the impact of the ongoing global supply chain constraints is still manageable, according to JP Morgan analysts.
Analyst investigates lead times for Apple’s iPhone, iPad, Mac, and more
As per a note to investors, JP Morgan analyst Samik Chatterjee investigates estimated delivery dates for Apple’s products. Though lead times are not the best measure of demand, they do tell us about supply and demand balance.
Across all regions, JP Morgan tracked estimated delivery dates for Apple’s Mac and iPad decreased to less than a month and 12 days, respectively. The estimated delivery date for AirPods currently stands at 2 days suggesting the impact of global supply chain issues is not causing a significant strain on the Bluetooth earbuds.
Lead times for Apple iPhone across tracked regions also remained stable, at 4 days. The analyst notes the impact of global supply constraints in this current quarter will not get out of hand. In the fourth quarter of 2021, Apple experienced a $6 billion loss due to supply constraints and expected similar figures for 2022. However, that could change.
In the United States, lead times improved for the Apple Watch. In Western Europe, estimated delivery dates for the iPhone and AirPods are still moderate as under a week. However, lead times for other products are higher in the region. In Japan, lead times improved for the Apple Watch and iPhone but there was a drop for Apple’s iMac.
In related news, Apple’s upcoming flagship iPhone 14 lineup is expected to have a higher price tag as Apple suppliers have had to implement major price hikes due to significant economic challenges the $550 billion semiconductor industry continues to face. The price hike for manufacturers will likely be passed onto the Cupertino tech giant which could force it to increase the price of its products.