This post was just published on ZYX Buy Change Alert.
Here is the relevant information about FNSR that you need to know.
- AAPL has made a large commitment to FNSR. This is a positive for the future. However, there is no immediate benefit to FNSR because the plan is for AAPL to buy more components from FNSR in the future and not right away.
- We have previously written about weak iPhone X sales. This is casting a doubt on the future of high priced phones from AAPL and in turn it is hurting FNSR.
- FNSR is providing FaceID components for iPhone X. There are many reports that FaceID is not working well.
- China has instituted a policy of sourcing more optics components from within the country. This is hurting FNSR.
- There is a negative take from SANM earnings. SANM is a contract manufacturer. Our take from its earnings call is that demand for products that use optical components from FNSR is falling. This also includes, OCLR, LITE, VIAV, and AAOI.
What To Do Now
Consider reducing the position size to 25% of full core position on bounces. Also if you can afford extra risk, consider changing the stop zone to $16 to $16.43. On the other hand if you cannot afford extra risk, consider honoring the existing stop.
Trades posted on The Arora Report Market Blog have produced unrivalled performance since 2007. Please click here and scroll down to see the table of all trades. These trades have been scrutinized in real-time by thousands of investors across the globe. This provides easy verification of performance for newcomers to this site. Only those trades are included in the performance where the entry post was made available to subscribers to The Arora Report Market Blog. When the entry post is made available only to the paying subscribers and not posted in real-time on The Arora Report Market Blog, the resulting performance of the trade is not credited in the performance table. There are very nice gains on this trade but since the entry trade was not posted here for the free subscribers in real-time but only made available to the paying subscribers, handsome profits on this trade will not be added to the performance of The Arora Report Market Blog shown on the table.
You are receiving less than 2% of the content from our paid services …TO RECEIVE REMAINING 98%, TAKE A FREE TRIAL TO PAID SERVICES.