Apple just reported earnings and they were pretty bad considering the low expectations. The guidance is rather soft and this will effect SWKS which is also down 3.5% in after hours trading. Apple is down 6% in AH:
It will affect SWKS’s stock price in the near future. But will it affect SWKS earnings? Maybe not so much. In January we heard Aldrich say that SWKS products are in “everything”. So if Apple sells fewer iPhones it will only affect SWKS if the overall market for mobile phones declines. If the weakness from Apple if Apple specific and made up for by other manufacturers selling more (like the Chinese companies such as Xiaomi) then SWKS should remain largely unaffected. We will see on Thursday what SWKS reports and says on the conference call…