[Click eStock] "iPhone 14 is Coming" Focus on PRO Series Beneficiary Stocks

by Hwang Junho

Published 24 Aug.2022 07:19(KST)

iPhone 14 Rendering by John Prosser

[Asia Economy Reporter Hwang Junho] KB Investment & Securities, based on a market research firm's survey results, expects the high-end models among the four iPhone 14 models to be released on the 7th of next month to be highly popular, forecasting that domestic component suppliers could achieve record-breaking performance in the second half of this year.

According to DSCC, a market research firm, on the 24th, among the four 'iPhone 14' models launching next month, the sales proportion of the high-end Pro series is expected to approach 60% of the total volume for the first time ever. Despite growing concerns about a global economic recession, it is anticipated that iPhone users' loyalty to the iPhone will be difficult to break.

According to DSCC's survey results, the sales proportions by iPhone 14 model are estimated as follows: the highest-priced iPhone 14 Pro Max at 30%, Pro at 28%, Regular at 24%, and Max at 18%.

Accordingly, KB Securities expects domestic component suppliers for the iPhone 14 to achieve record-breaking performance in the second half of this year. In particular, among global iPhone component suppliers, the big three?Samsung Display (Samsung Electronics), LG Innotek, and BH?are projected to have the highest supply shares for components of the iPhone 14 Pro series.

Researcher Kim Dongwon of KB Securities stated, "The supply shares for the iPhone 14 Pro series are expected to be 85% for Samsung Display (OLED), 75% for LG Innotek (camera), and 65% for BH (FPCB), and the proportion of iPhone sales in their total revenue this year is estimated at 50% for Samsung Display, 80% for LG Innotek, and 70% for BH, raising expectations for record-high performance in the second half of this year."

He added, "Among smartphones worldwide, the iPhone is the only product with an upward shipment forecast for the second half of the year and no competitors," explaining, "It is highly likely that the trend of upward revisions in earnings estimates for iPhone component suppliers will continue."