Understanding the Market | Apple concept stocks lead the decline, multiple factors suppress smartphone demand, global smartphone shipment growth rate slowed in the second quarter
Apple concept stocks performed poorly, with FIT HON TENG down 9.77%, Q TECH down 7.17%, and COWELL down 4.42%. An IDC report shows that global smartphone shipments are expected to grow by 1.0% year-on-year in 2025, but Omdia pointed out that shipments in the second quarter decreased by 2.8% quarter-on-quarter. According to analysis from China Merchants Securities, global macroeconomic uncertainty and tariff fluctuations have suppressed demand, especially in the low-end market. In the short term, the mass production of the iPhone 17 new model will boost sales
According to Zhitong Finance APP, Apple concept stocks are among the biggest losers. As of the time of writing, FIT HON TENG (06088) is down 9.77%, trading at HKD 4.25; Q TECH (01478) is down 7.17%, trading at HKD 13.99; COWELL (01415) is down 4.42%, trading at HKD 32.44.
In terms of news, IDC recently released a report stating that global smartphone shipments are expected to grow by 1.0% year-on-year in 2025, reaching 1.24 billion units, an upward adjustment from the previous forecast of 0.6%, mainly due to a 3.9% increase in iOS device shipments this year. In May of this year, the agency had revised its full-year forecast from a growth of 2.3% to 0.6%. Additionally, Omdia stated that in the second quarter of 2025, global smartphone shipments will drop to 288.7 million units, a decrease of over 8 million units quarter-on-quarter, representing a decline of 2.8%, with only a slight year-on-year decrease of 200,000 units compared to the second quarter of 2024, a decline of less than 0.1%.
CITIC Securities pointed out that global/China smartphone shipments in the second quarter grew by +1%/-4% year-on-year, mainly due to tariff fluctuations and uncertainties in the global macroeconomic environment suppressing demand, especially in the low-end market, as well as the Chinese market performing below expectations. Considering the uncertainty in global demand, recent third-party institutions have revised their 2025 global smartphone shipment growth forecast down from 2-4% to 0-1%. In the short term, the iPhone 17 new model will begin mass production in the third quarter, with supply chain tracking indicating material stockpiling exceeding 90 million units. The major overhaul of the 17 model, combined with more complete AI features, is expected to further boost sales, while Android mainly focuses on changes in brand dynamics, as well as the impact of national subsidies, AI, and optical innovations on sales
