Why iPhone 5c Order Cuts Are Great for Apple

Investors have been hearing an awful lot that Apple  might cut iPhone 5c orders from its suppliers.

NPD DisplaySearch is the latest to chime in, saying iPhone 5c orders appear to have been reduced by 35%. On the other hand, DisplaySearch offers up some very good news that Apple has increased iPhone 5s orders by 75%. That's potentially a large jump in Apple's most important product, and a sign that demand is good for the high-end device that carries higher margins.

As with all supply-chain rumors, investors should consider this information with a healthy amount of skepticism. Rumors of this nature only provide a possible aspect of the broader picture and shouldn't dictate the overall investment decision. For more reliable information on Apple's supply chain, investors should check official SEC filings.

In this segment of Tech Teardown, Erin Kennedy discusses Apple's supply chain with Evan Niu, CFA.

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The article Why iPhone 5c Order Cuts Are Great for Apple originally appeared on Fool.com.

Erin Kennedy and Evan Niu, CFA, both own shares of Apple. The Motley Fool recommends and owns shares of Amazon.com, Apple, Facebook, and Google. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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