Poor demand for the new iPhone SE could hit Apple’s stock price

JP Morgan is announcing a downward revision of Apple’s revenue forecasts in response to the sluggish launch of the new iPhone SE and the worrying prospects of lowering consumers’ appetite for non-essential spending amid fears about the war in Ukraine.

Displayed on the front with virtually the same recycled design from the days of the iPhone 6, cosmetic on the back with a slightly nicer cover, the “new” iPhone SE 2022 failed to convince too many people just with the stellar performance offered by the chipset A15 Bionic, taken from the current iPhone 13 model. Specifically, even the most devoted Apple fans are no longer convinced that a smartphone with a 4.7-inch screen and Touch ID button is still a fashionable option in 2022, saying goodbye to the phone with price of 685 euros.

Probably the “sharp” impressions that appeared in the specialized publications were not very helpful in promoting the new SE.

According to the investor’s note released by JP Morgan analyst Samik Chatterjee, the company will take a cautious stance on Apple’s revenue outlook, in part because of the alarming signs about declining demand for consumer electronics, but especially because of demand weakly noticed after the launch of the iPhone SE.

In the same note for investors we find some concrete data, Chatterjee anticipating iPhone deliveries of about 245 million for the whole year 2022, down from a previous forecast of 250 million units. Admittedly, the figure includes all versions of the iPhone in Apple’s portfolio, including the much more popular iPhone 13. Separately, estimates for iPhone SE deliveries stop at 24 million units for the full year, down from 30 million units.

In the services segment, Apple’s sales could increase by up to 15% in 2022, below the initial forecast of 20%. This includes issues such as commission sales, cloud services, and gaming.