The COVID-19 pandemic in the Middle Kingdom continues, and government quarantine measures lead to strikes at factories and mass unrest. Back in mid-October, Taiwan’s Foxconn Technology Group introduced a lockdown at its iPhone manufacturing plant in Zhengzhou amid growing COVID-19 cases. This can be found at 

Amid severe restrictions, as well as shortages of food and medicine, employees began to flee the Foxconn factory, and on November 23 protests and violent clashes with the guards of the dormitories and the factory began. Against this backdrop, investors began to take a closer look at DIS stock price predictions

At the same time, on November 24, quarantine was re-introduced in key areas of Zhengzhou. To keep the company running, Foxconn management began to offer employees increased pay, as well as compensation for resigning at will. This affected the price of Apple stock shares today. 

AAPL stock closing price today — good news 

According to the latest reports, since Nov. 30, Zhengzhou lifted controls on the movement of citizens, and the city begins to live in “normal pandemic mode,” and businesses will be able to continue normal operations.

As the situation in China deteriorates and the timing of new device orders on Apple’s official website (AAPL) increases, it is clear that even the company’s adjusted forecast of 87 million devices to be delivered in the fourth quarter of 2022 is extremely optimistic. 

Foxconn Technology’s Zhengzhou factory assembles about 50 percent of all iPhones produced, including four of the top five models. Previously, Foxconn management stated that it will be able to make up for the drop in supply by other sites, but this statement in the current situation is questionable. So, the outlook for Apple stock shares today looks optimistic. 

According to data from TrendForce, as of November 2, the utilization rate of Foxconn’s production facilities in Zhengzhou is about 70% (with the average rate of 85%), and the factory won’t be able to increase the workload quickly. Already in early November, Trendforce experts estimated the production volume of smartphones in October-December at 80 million units. 

According to Ming-Chi Kuo, an analyst at Tianfeng International, against the background of lockdowns in China, Taiwanese Pegatron and Luxshare received about 10% of orders for the iPhone 14 Pro and 14 Pro Max. but even by the most optimistic estimates shipments from these factories will not begin until late December.

Positive Forecasts 

FactSet’s consensus forecast assumes fourth-quarter iPhone shipments will reach 83 million units, with only 74 million smartphones under a negative scenario. We expect the actual decline in shipments of new iPhones in the last three months of the year to be about 15 million units (-17% compared to the original management forecast), and Apple will end up with 75 million units. This dropout will be 30-40% offset by pent-up demand in the next three quarters.


Until the epidemic situation in China normalizes, the risk of further short-term decline in Apple’s quotes remains. The outlook on the company’s stock remains moderately negative and it is recommended to hold these securities with a $132 target. It may be worth considering DIS stock price history to invest your funds. 

The message is informational and is not an individual investment recommendation or offer to buy the mentioned securities. The purchase of foreign securities is connected with additional risks.