More key Apple suppliers cut revenue forecasts

Two Apple suppliers announce negative results

Two Apple suppliers tempered expectations Thursday, warning their quarterly results would likely be below estimates in the latest of a string of supplier woes that have dimmed the tech giant's shine on Wall Street.

Precision circuit maker Cirrus Logic announced preliminary fiscal third-quarter net revenue of approximately $347 million, falling short of the $386 million predicted by analysts at Thomson Reuters. And core technologies and RF solutions company Qorvo trimmed revenue expectations for its fiscal third quarter down to $620 million, versus its original guidance of $720 million to $730 million.

Shares of both companies dropped in after-hours trading, with Qorvo seeing a 10.5 percent decline and Cirrus falling nearly 5 percent.

A customer uses her smartphone at an Apple store in Shanghai.
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Meanwhile, tech titan Apple saw its stock tumble yet again, ending down 4.2 percent Thursday, and continuing to drop in after-hours trading.

Another key Apple supplier, Dialog Semiconductor, also cut its fourth-quarter revenue outlook last month, leading numerous analysts to slash their iPhone unit sales targets. Supply chain checks indicated a 30 percent reduction in production of Apple's iPhone 6S and 6S Plus between January and March, as estimated by the Japanese financial news service Nikkei earlier this week.

On top of that, recent stock market volatility in China hit Apple near the epicenter of one of its fastest-growing markets. Analyst Amit Daryanani of RBC Capital Markets chopped 10 million units from his iPhone sales target after supply chain data points Thursday.

"The fear is, does this flow into the consumer market over there and impact iPhone sales?" Daryanani told CNBC's "Closing Bell." on Thursday. "You haven't seen it so far, i.e., the last September results we had. But that's certainly the right concern to have, given how important China is to Apple."

Friday will close one of the worst weeks in the technology sector of the market for five years, with fellow Apple suppliers showing particular weakness: As of Thursday, Skyworks was down 12.4 percent week to date while Avago was down 11.2 percent week to date. The companies did not immediately respond to CNBC's request for comment.

Disclosure: RBC Capital Markets is a market maker in Apple. CNBC's Christopher Hayes contributed to this report.