Apple, Dell may see gains

Morgan analyst Rebecca Runkle believes that Dell and Apple show the , according to CBS.MarketWatch.com. Runkled, who lowered her 2005 unit-shipment growth forecast to 9 percent from 11 percent over 2004, cites better-than-expected performance in the PC market in 2004, as well as signs of a slowdown in the market late in the year. "In a research note, Runkle said sales in the consumer market, as well as among small and medium-size businesses and the government, declined in second-half 2004. A 'meaningful acceleration' in the enterprise business sector would be needed for the overall PC market to post a year of double-digit growth in 2005."

In the report Runkle said that Dell remains in the best fundamental position for the market and that Apple should continue to benefit from the momentum of the iPod and its recent new iMac release. Runkle also expects Gateway to do well as it expands in retail strategy, according to the report.



The report also notes the revised PC shipment assessment follows a Gartner report that expects three of the top 10 PC vendors will leave the market by 2007. "Gartner analyst Leslie Fiering said Monday that slower growth rates and thinner profit margins will lead to consolidation over the next three years. Also, in late November, Merrill Lynch analyst Steve Milunovich said he expects PC shipments in 2005 to grow 9 percent in 2005 and 6 percent in 2006. Milunovich said the PC industry will continue to look at notebooks for relief in the market."

by MacNN Staff