Disappointment coming in Apple Q4 results?
updated 10:30 am EDT, Fri October 16, 2009
'Hiccups' may affect iPhone sales
Apple's fourth-quarter earnings could disappoint, says Oppenheimer analyst Yair Reiner. In spite of generally optimistic predictions elsewhere, the analyst is calling for "slightly disappointing" revenue, and urging investors to avoid buying shares until after Apple issues its report. The central issue is iPhone sales, which Reiner suggests may fall below his prediction of 6 million units, already lower than a consensus of just over 7 million.
Apple may be suffering from "component/manufacturing hiccups," he says, as evidenced by the sales revealed at an iPod event on September 9th. The company hinted that only 3.5 million iPhones had been sold in the quarter to date, with 21 days remaining. As the iPhone 3GS has repeatedly sold out in regions around the world, Reiner notes that Apple must be experiencing problems meeting demand, making it virtually impossible that another 3.5 million phones could have shipped in the space of weeks.
Should Apple stock fall substantially next week, the analyst advises buying large quantities of stock, as several factors could push stock back up. These include a potentially large December quarter for the iPhone, assuming no more obstacles, and better Mac sales as a result of iMac and MacBook refreshes. In early 2010, the company is expected to announce its rumored tablet.
FUD with a capital "F"!
10/16, 11:11am reply
FUD with a capital "F"!
b9robot
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Joined: Feb 2009
comment title
10/16, 11:19am (1 reply) reply
How is a reasonable suggestion of possible component problems based on the manufacturer's own words "FUD?" Followed by a suggestion that investors buy as much stock as possible to take advantage of a rare Apple dip? This is how investing works, it has nothing to do with "fear," "uncertainty" or "doubt." Or irrational emotional attachments to a consumer products company.
Seriously, MacNN is overrun by emotion. Don't be "that guy."
andrewbw
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Joined: Jan 2001
Spot shortages maybe...
10/16, 11:45am reply
but overall, I'd think demand really just exceeded their top capacity. In August there was mention that Foxconn was already capable of building 3.2 million iPhones a month, so unless there was some drastic slowdown that lost them a whole month's worth of production I doubt if they would produce less than 6 million iPhones. I say Apple sold 7 to 8 million iPhones and that's what most analysts say. TMO used to track numbers on iPhones and it would be best to check to see how they tally.
iphonerulez
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Joined: Nov 2008
Maybe its this.....
10/16, 12:24pm reply
" I have told my clients to buy and I want you to drive the price down so that they can get Apple cheaper. ..... Then when the news is out Monday, and the stock rises, we can make a nice profit from you idiots who listen to me on the web.
Pay me and I will try to drive the market on Apple so you can make money. "
ER..... Just a thought,
en LOL
Eldernorm
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Joined: Sep 2007
i think
10/16, 12:40pm reply
he's trying to talk it down some so that he can jump in at a better price than ~$190.
Should Apple stock fall substantially next week, the analyst advises buying large quantities of stock, as several factors could push stock back up.
Now I'm sure of it.
climacs
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Joined: Sep 2001
Agree with Eldernorm
10/16, 08:03pm reply
Spot on ... especially given the timing of the "news", he wants people to dump Monday morning, so he can buy them cheap, and dump them Tuesday morning!!! I guess he missed the boat the last time :-)
shawnde
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Joined: Apr 2008
Apple needs to expand the market
10/16, 11:53pm (1 reply) reply
I think Apple needs to eliminate the At+t exclusive deal and open up to Verizon, allowing tons more of sales! I know the chipsets are different or the radios are different, but hey if Apple can switch from Power PC to Intel I think they can figure out how to run phones on CDMA too. Just think how many phones they would sell if Verizon was added as a provider!
handydan
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Joined: Nov 2001
LOLFAIL
10/20, 04:01am reply
LOL
rtbarry
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Joined: Aug 2001