Shares of the tech giant, Microsoft (MSFT) dropped this week along with the market and the company’s announcement that their falling PC business is due to the failing supply chain because of the Coronavirus outbreak. The statement came after other industry giants like Apple and HP announced similar statements due to the virus outbreak.
“Finished good inventory levels matter. If Microsoft had not fully assembled and packaged Surface units in the channel, then the impact would be felt faster and more severely,” stated Morningstar analyst Dan Romanoff.
PayPal Holdings and Mastercard also warned about a possible hit. This week Microsoft informed its supply chain was returning to normalcy at a sluggish pace than anticipated and its Windows and Surface computers have suffered more than expected. The company expects to miss its third-quarter revenue forecast for the PC unit, as per reports.
Redmond, Washington-based American multinational technology company Microsoft (MSFT) develops, manufactures, licenses, supports and sells computer software, consumer electronics, personal computers, and related services. To learn more about Microsoft (MSFT) and to track their progress please visit the Vista Partners Coverage Page.
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