Dialog Semi Falls on Apple IPhone Delay Concern: Frankfurt Mover

Dialog Semiconductor Plc, whose biggest client is Apple Inc., fell the most since April as peer AMS AG forecast a profit drop for the year, fueling speculation that Apple’s new iPhone may be released later than expected.

The shares fell as much as 7.6 percent to 10.77 euros, the biggest intraday decline since April 25. AMS dropped as much as 23 percent after the Austrian company said second-half sales will be weaker than expected because production for some devices using its chips will ramp up late this year or early next year.

“AMS’s warning could be the first hint that the launch of Apple’s new iPhones will be postponed further into late third-quarter or even fourth-quarter 2013, which would have a severe adverse impact on the entire supply chain,” Bernd Laux, an analyst at Kepler Cheuvreux, wrote in a note today.

Dialog Semiconductor shares traded 2.9 percent lower as of 12:08 a.m. in Frankfurt, bringing the decline this year to 15 percent. The Kirchheim, German-based company relies on Apple for 33 percent of its revenue, according to data compiled by Bloomberg.

Laux said he’s keeping his buy recommendation on Dialog as some issues specific to its Austrian competitor, such as a change in management, don’t apply to the market in general.

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