Hi-P

Hi-P: Apple’s share price tumbled 5.5% last night to US$402.8 after Cirrus Logic, an analog and audio ICs supplier for apple, gave poor 1Q2013 forecasts that were below consensus estimates. Since last December, channel checks revealed that Apple slashed its future order intakes from its component suppliers due to poorer-than-expected iPhone 5 demand. Thus we have been expecting lacklustre 1Q2013 for component suppliers which depend heavily on Apple. In SG, OSKDMG anticipate Hi-P’s (SELL, TP: $0.63) 1Q2013 results to be marginally profitable, thanks to new orders from BlackBerry, it’s one-time top customer.