Shares of Apple Inc. supplier Analog Devices, Inc. gained more than 5% in the first hour of Wednesday’s session after the company beat fiscal third quarter profit and revenue estimates while raising fourth quarter guidance. The bullish results should generate a steady tailwind for the broad swath of companies that make iPhone components, especially with the iPhone 8 set for release in September or October.
These symbiotic issues have underperformed their benefactor throughout 2017, with the biggest names trading well below their 2017 highs while Apple stock grinds out a series of all-time highs. This laggard behavior suggests that product lines outside the iPhone universe have weighed on results, which makes sense given the highly commoditized nature of the semiconductor business. (For a refresher, see: The Industry Handbook: The Semiconductor Industry.)
Apple suppliers are rallying off steep pullbacks after Analog Devices posted stronger-than-expected quarterly results. …read more
Read more here: Apple Suppliers Catch Bid After Analog Devices Results
Category: AAPL, ADI, SWKS, CRUS