Apple reports stellar earnings but chip shortage to play havoc from here on

It was a blockbuster earning from world's most valuable tech company Apple as iPhone sales increased nearly 50% and overall sales were up 36% beating analysts' estimates across the board. Yet, the stock took a beating as the outlook did not connect as well. 

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Apple though did not give a formal earnings guidance warned shareholders that the July-September quarter may not be as robust due to prevailing chip shortage. Apple CEO Tim Cook said in a call with analysts that Apple is seeing supply constraints related to “silicon” ( computer chips) that would affect the company’s iPhone and iPad sales in the September quarter.