Citing improved component supply, analyst predicts again Apple will sell 46.5 million iPhone 5s in Q4

While most of the current Apple shares selloff can be attributed to people locking in profits after the amazing runup this year for tax purposes, part of the argument was that Cupertino can't make enough iPhone 5 units to satisfy demand and meet analysts' predictions, too.

The newest Apple handset is its most ambitious global rollout yet, and as with every major design overhaul, there were bottlenecks with the yield rates for the new in-cell touch displays, and the manufacturing precision needed to craft the thin metal-and-glass body.

These issues seem to be behind in the supply chain, claims Shaw Wu of Sterne Agee, and now he is back to his original prediction of 46.5 million units sold in the December quarter. 

The analyst mentioned in a research note to clients yesterday that the component supply issues have transformed into pure assembly ones now, citing Foxconn's CEO Terry Gou, who said Wednesday that demand is so high, they barely keep up with making the iPhone 5s. Rumors are that even Foxconn's parent company Hon Hai is chipping in with assembly help now to make sure all orders get made.