These Apple suppliers have the most to win or lose from the tech giant's upcoming earnings

Published Wed, Jan 31 202410:03 AM ESTUpdated Wed, Jan 31 202411:05 AM EST

Reverberations from Apple 's earnings report will likely be felt across the hardware sector. The personal technology titan will release first-quarter results Thursday after the market's close. Investors will want to gauge demand for goods and services amid growing concerns about the iPhone's outlook. A cottage industry of suppliers depends on Apple and the suppliers' stocks have a history of moving in tandem with the big technology name. To find these stocks, CNBC Pro screened FactSet for companies that provide Apple with supplies and have the highest correlation in stock price over a 20-week period. Here's the top 10 most highly connected, all of which were included in Apple's 2022 supplier list : Cirrus Logic has a high correlation with Apple. It provides technology and parts that power the haptic touch systems that replaced physical buttons. But there have been signs of trouble: Cirrus' shares sank last April after an analyst said the new iPhone 15 Pro wouldn't use the product as much as previously expected. Shares have pulled back nearly 5% so far in the new year, kicking off another year of underperformance after the stock gained about 11% in 2023. Yet analysts are optimistic, with 4 out of 5 having a buy rating and an average price target that implies shares can rebound more than 17% in the year ahead. Further down the list, Amkor also has a high correlation to Apple. The company is responsible for packaging Apple silicon . Amkor has inched lower this year. In 2023, the stock climbed nearly 39%, outperforming the broader market while underperforming the technology-heavy Nasdaq Composite . Around 7 out of 10 Wall Street analysts rate the stock a buy, per FactSet. The typical analyst expects the stock to rise 1.3%. .IXIC AMKR,QCOM 1Y mountain The Nasdaq Composite vs. Amkor and Qualcomm over the past year Qualcomm , which rounded out the list, signed a deal in late 2023 to continue providing Apple with 5G modems for its iPhones through 2026. The announcement surprised Wall Street — and even Qualcomm leadership. Both had expected Apple was going to develop these parts internally starting this year. The stock has added nearly 2% in 2024. That marks an extension of 2023's gains, when it rallied more than 31%. This means Qualcomm has also outperformed the S & P 500, while seeing smaller gains than the Nasdaq. Just under 3 out of every 5 analysts rate the stock a buy, according to FactSet. The average price target on the Street implies shares can add more than 4% in the next year. — CNBC's Nick Wells contributed to this report.