Apple stocks mixed despite new iPad

Staff writer, with CNA

Thu, Oct 24, 2013 - Page 14

Shares of local manufacturers in the Apple Inc supply chain were mixed yesterday as the US consumer electronics giant’s newly unveiled iPad tablet models failed to capture the imagination of the market, dealers said.

Even the “Apple concept stocks” that rose in morning trading saw their gains eroded by concerns over the stiff competition Apple faces in the global tablet market as rivals continue to introduce new models to seize a higher share, they said.

At the end of the session, shares of Hon Hai Precision Industry Co (鴻海), which assembles iPhones and iPads for Apple, fell 0.26 percent to close at NT$75.3, while smartphone camera lens supplier Largan Precision Co (大立光) lost 0.51 percent to close at NT$982.

Shares of metal casing maker Catcher Technology Co (可成) were down 1.17 percent to NT$168.5 and those of battery producer Simplo Technology Co (新普) lost 2.72 percent to NT$143.

Parade Technologies Ltd (譜瑞), a fabless semiconductor company that specializes in high-speed signal transmission interface solutions, saw its shares rise 0.46 percent to NT$219, speaker and earphone supplier Merry Electronics Co’s (美律) shares were flat at NT$95.2, but Flexium Interconnect Inc (台郡), a maker of printed circuit boards, lost 2.24 percent to close at NT$91.5.

At the close of the day, the TAIEX was down 0.29 percent.

“Judging from the performance of these Apple concept stocks, I think the new iPads failed to impress the market as the functions of the new products were widely expected,” Ta Ching Securities Co (大慶證券) analyst Andy Hsu said. “A fall in Apple’s share price overnight after the iPad launch reflected that sentiment.”

Apple shares closed down 1.5 percent on Wall Street.

Apple unveiled a new generation iPad called “iPad Air” — so-named because it is 28 percent lighter and 20 percent thinner than its predecessor — and the iPad Mini 2, a smaller iPad.

Both new tablets come with retina displays, but they do not have fingerprint sensor technology, which the market had expected would be included.

“It remains to be seen whether the new iPad models will stir up significant interest and boost shipments for its suppliers,” Hsu said.