BofA analyst warns G5 sales may fall short
updated 02:25 pm EST, Tue March 16, 2004
G5 sales may fall short
Despite the success of the iPod in consumer markets, Banc of America Securities analyst Keith Bachman today for the second quarter in a row. "We believe [G5 sales are] the single-best gauge of the growth potential of Apple," Bachman said in a research note. "The G5 is more important that the iPod in terms of (earnings per share) impact." Apple shipped 206,000 G5 systems last quarter, falling short of many analysts' estimates. Bachman estimates that Apple will ship 195,000 G5s this quarter. After running up to 27.56 earlier this month on excitement about the iPod's success, shares of Apple have since fallen about two points.











Then...
03/16, 02:33pm reply
...release NEW G5s! I'm a motivated buyer over here!! What's the holdup?
Monstermind
Junior Member
Joined: May 2000
I agree
03/16, 02:49pm reply
The problem is people are waiting. The quarter Apple releases the 2nd Generation of G5's will be an extremely good quarter for Apple. I'm buying 2 myself, one for home and one for work. I'm sure many other people are waiting for the 2nd Gen G5's.
varcos
Fresh-Faced Recruit
Joined: Apr 2001
Hedge Fund Headturners
03/16, 03:19pm reply
They knock down a stock price with negitive news so they can buy it up. That's my guess.
beb
Mac Elite
Joined: Jan 2002
puhleeze
03/16, 03:30pm reply
Thank goodness they didn't guage their MSFT growth potential on the Microsoft Bob product.
Kind of stupid to base a worldwide company's growth on a single product line. I've got a three year old that picks stocks based on how far he can blow boogers, maybe BOFA will hire him.
SillyMe
Registered User
Joined: Feb 2001
Bad Case of the Waits
03/16, 03:40pm reply
Apple has four major lines of computers - PowerBooks, iBooks, iMacs, and desktops. (I'm leaving out the eMac, I know.) Of those, the only one selling particularly well is the PowerBook line. That's in keeping with the "Year of the PowerBook", and it's important, but the analyst has a valid point. The G5 is a breakout machine, and should be selling better. It's also one of Apple's higher margin lines, and it targets their most captive power-user audience. Being on track to sell less than a million is not inspiring.
My guess is that much of the market is doing what an earlier poster suggested - waiting for the next round. My hope is that we'll have G5s in the iMac and PowerBook lines before September, because the G4 is getting so long in the tooth. I know that I'm holding off at work and home to upgrade waiting for that transition. I squeeze six or more years out of my hardware, and I don't want to buy equipment running off a chip at the end of its life cycle.
edtekker
Fresh-Faced Recruit
Joined: Mar 2003
bring em on
03/16, 03:46pm reply
Everyone is waiting. Most people expected the damn 2nd gen. G5 in January, myself included. I've been waiting to buy one since December... I'm not gonna buy one of the first gen. models because a new model is "imminent".
HURRY THE h*** UP. I'm getting sick of my old a** computer and I need a new one. INTRODUCE THEM ALREADY!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
loudgazelle
Fresh-Faced Recruit
Joined: Dec 2001
Serves them...
03/16, 03:56pm reply
right! This hold up in releasing new PowerMacs is the leading factor in weaker than expected sales. A lot of people (including myself) have been burned enough to know not to buy a first generation mac. So, not only are we waiting because we know updates have to be right around the corner, but also because we don't want to take our chances on a first gen model. I really hoped when they announced the G5 that the long waits for faster models like the G4 was going to end. Apparently not.
Apple seems pretty content to wallow complacently where they are at. I realize that the PC world hasn't hit much great stride since going to 3GHz last summer as well, but that only exemplifies the problem. Apple actually had a chance to "catch up" in terms of pure mhz numbers, but instead has taken an approach that if the other side isn't going to beat us to death, then they rather wait until as long as possible so they can make as much profit as possible from 7 month old processors, which they have to be getting cheaper now than they were in the beginning and they would get the 2.5+GHz for. I'm sorry, but a product update in the PC(mac) world shouldn't take longer 6 months max, and at this rate, it feels as though they are going to skip a generation of processors and go straight to 3.0GHz for August. (LOL, 3GHz by summer's end! HA! :)
And I would argue that you can hinge the future of Apple on the success of the G5. The G5 is the company's flagship in computers and statement they make to the world. If they don't sell well, developers will assume the mac is only good for consumer apps (because all that will be selling well are the consumer machines), and Apple already has much of that market cornered, and thus there will be no one supporting the mac eventually. Its rather extreme, but there is no doubt that the G5 HAS to sell well. Unless Apple wants to become a company that only markets iPods.
csimon2
Junior Member
Joined: Aug 2000
waiting
03/16, 04:00pm reply
For me, I am waiting for the dual 3.0's to come out because after that point, I will not need a faster computer for a VERY long time. I am also assuming that all the specs of the the g5 rev b will have a faster bus. and more cool stuff like pci express , X, AGP 8x, etc etc and a fatsre bus. I do a lot of 3d graphics and FCP stuff, so a fatser that g4 733 would be great, and i wouldnt have to upgrade for a long time. especially when a 64 bit OS ships.it always pays to have a faster machine in terms of when rendering needs a speed boost, but a dual 3.0 is AY more than needed by most people. the only ones that need that are those running servers, game players, those using high end math apps, and those doing high end graphics.
Macman069
Fresh-Faced Recruit
Joined: Apr 2003
Huh?
03/16, 04:09pm reply
What!?!?!?!
s**** it, I am calling Boba Fet, he'll know what to do!!!
Lyra
Forum Regular
Joined: Jul 2000
Everyone's waiting
03/16, 05:14pm reply
Update the G5s!!!!
Eriamjh
Addicted to MacNN
Joined: Oct 2001