Foxconn, a leading assembler of Apple’s (AAPL:NSD) iPhones, reported a significant increase in its January revenue. The Taiwan-based company saw a 48.2% YoY rise to NT$ 660.4 billion ($22 billion) as it recovered from COVID-related disruptions in China.
It is estimated that Foxconn assembles about 70% of all iPhones. January’s top line rose 4.93% compared to December 2022, with normal operations resumed at its Zhengzhou facility after worker unrest due to COVID measures impacted iPhone production during the holiday season.
The Smart Consumer Electronics Products and Computing Products divisions saw double-digit YoY revenue growth. Foxconn stated its January revenue was “slightly ahead” of market expectations and its Q1 2023 revenue is “likely to reach market expectation,” with a 4% increase expected by analysts.
Apple reported weak results in the December quarter due to production disruptions in China but expects iPhone revenue growth to accelerate in the March quarter.
Apple stock price has risen 5.87% in the past week and 23.58% in the past month but declined 10.38% over the past year. The average analyst Apple stock price target is $169.48 and the average rating is Strong Buy.
Stock Target Advisor considers Apple’s stock to be Slightly Bullish based on 11 positives and 5 negative signals. Apple has low volatility and has consistent returns compared to its peers, delivering positive cash flow and free cash flow.
It also has superior return on assets, capital utilization, and total returns, as well as high market capitalization and revenue growth. However, the stock is considered overpriced compared to book value, earnings, cash flow, and free cash flow, and is highly leveraged.
Apple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories worldwide. It also sells various related services.
In addition, the company offers iPhone, a line of smartphones; Mac, a line of personal computers; iPad, a line of multi-purpose tablets; and wearables, home, and accessories comprising AirPods, Apple TV, Apple Watch, Beats products, and HomePod.
The company also sells its products through its retail and online stores, and direct sales force; and third-party cellular network carriers, wholesalers, retailers, and resellers. Apple Inc. was incorporated in 1977 and is headquartered in Cupertino, California.