Citi Research has joined a growing list of analysts to lower first-quarter production estimates for Apple’s iPhones amid weakening demand for the smartphones.
Citi Research analyst William Yang cut the overall iPhone shipment forecast by 5 million, to 45 million for the quarter, reported Reuters. That’s a sting that falls in line with others such as influential TF International Securities Apple analyst Ming-Chi Kuo, who delivered a less than stellar iPhone forecast earlier this month.
It’s Yang’s outlook for the 6.5-inch iPhone XS Max that is particularly gloomy. In a research note to clients, Yang slashed the shipment forecast for the iPhone XS Max by 48 percent for the first quarter of 2019.
The cut in Citi’s forecasts is driven by the firm’s view that “2018 iPhone is entering a destocking phase, which does not bode well for the supply chain,” Yang wrote.
Two weeks ago, Kuo predicted that 2019 iPhone shipments will likely between 5 to 10 percent lower than 2018. He also lowered first-quarter shipment forecasts by 20 percent.