Apple stock took a hit on Tuesday following a report that the U.S. firm has cut orders for iPhone parts for the upcoming quarters. Investors took the report cautiously as it suggests weaker-than-expected iPhone 6s sales.

Apple Inc. Stock Down On Hints Of Weak iPhone 6s Demand

Weak iPhone 6s demand to blame

In a note (via Street Insider), Credit Suisse analyst Kulbinder Garcha said the checks with Apple’s supply chain indicate weaker-than-expected iPhone orders.

“In our view, the continued weak supply chain news could weigh on Apple shares for the next few weeks/quarters,” Garcha said.

A similar report was issued by Credit Suisse three weeks ago. For November, the investment bank’s Asian team reportedly confirmed the drop in orders, claiming 70 million to 75 million units for the December quarter and 45 million to 50 million units for the next.

For the December and March quarters, Garcha maintains his iPhone sales estimate of 78 million and 55 million, respectively, making it 222 million units for the 2016 calendar year. Though the numbers are lower than Wall Street estimates, Garcha believes that Apple will succeed in expanding its iPhone base to 615 million devices one day.

4-inch Apple “iPhone 6c” imminent

One thing to note is that the analyst included the rumored 4-inch “iPhone 6c” in the March quarter and expects Apple to sell up to 4 million units.

“[W]e note that Apple’s recent capex guidance and purchase obligations suggest our iOS units have 25% upside (providing further evidence that it will launch a 4-inch screen device),” Garcha says.

Trusted analyst Ming-Chi Kuo was the first to report on Apple’s revamped 4-inch iPhone. Kuo claimed that Apple will launch the device in 2016 as an entry-level offering.

Though Credit Suisse has lowered its iPhone shipments, it gave the iPhone firm an Outperform rating with a price target of $140. Of the 50 analysts covered by TipRanks, 37 rate the stock a Buy, 11 see it as a Hold, and only two consider it a Sell. The stock has a consensus price target of $148.86.

On Tuesday, Apple stock closed down 0.81% at $117.34. Year to date, the stock is up by over 6%, while in the last one month, it is down by almost 2%.