Cirrus tumbles as notable analyst warns of Apple iPhone 15 design change

Cirrus Logic

12/04/2023 15:39

** Chipmaker Cirrus Logic Inc's  CRUS.O  shares drop as much
as 13.7% to $87.90 on Weds as widely followed analyst warns
Apple Inc  AAPL.O  may change design on its high-end iPhone 15
models
    ** TF International Securities analyst Ming-Chi Kuo said
AAPL will "abandon" solid-state button design on both iPhone 15
Pro and Pro Max due to "unresolved technical issues" and revert
to traditional physical button design
    ** "Investors had anticipated that the new solid-state
button design would increase suppliers’ revenues and profits;
thus, this change is particularly unfavorable for Cirrus Logic
(exclusive Controller IC supplier) and AAC Technologies (Taptic
Engine supplier)," Kuo wrote in blog post
    ** In Feb, CRUS posted fiscal Q3 beat driven by demand for
smartphones
    ** Shares of CRUS last down 11.4% at $90.21 on Weds, up ~21%
YTD. Stock notched record high close of $109.56 on Mar 30
    ** AAPL shares up 0.2% at $161.20 on the session

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))