Apple falls towards $107 amid tech selloff, downgrade • 2:12 PM
- With the Nasdaq off 1.2% and Mizuho's Abhey Lamba having downgraded to Neutral, Apple (AAPL -2.5%) is posting a sizable decline. 42.5M shares have been traded thus far vs. a 3-month daily average of 51M.
- Following Asian supply chain checks, Lamba thinks Apple could report 70M+ FQ1 iPhone sales on Jan. 27, with "a healthy mix of iPhone 6 Plus." He also expects "management to report significant backlog and inventory below normal levels."
- However, he believes there's "limited upside" to an FQ2 iPhone consensus of ~50M, and more broadly expects slowing iPhone sales momentum going forward due to growing penetration rates and "likely saturation of smartphones at the upper end of the market."
- Meanwhile, Pac Crest's Andy Hargreaves, who downgraded following the September iPhone 6/Watch launch event, is out with another cautious note (previous), stating the FQ2 consensus is "at the high end of what Apple is likely to guide to." He sees "particular risk around Apple Watch unit volume, iPad unit volume and sales and marketing expenses."
- Rosenblatt's Brian Blair is more bullish: He forecasts 72M FQ1 iPhone sales, and reports a supply/demand imbalance still existed in nearly all of the iPhone 6's 110+ markets at the end of December. Blair expects calendar 2015 iPhone sales to rise 16% to 220M. On Tuesday, Canaccord reported seeing tight supplies for some iPhone 6 models at U.S. carrier stores.
AAPL price at time of publication: $107.29.
Check AAPL price now »
Was this email forwarded to you? Learn more about Seeking Alpha Alerts here »
Focus Articles on AAPL
More News on AAPL
Press Releases on AAPL
Related Articles on AAPL
StockTalk on AAPL:
| Twitter AAPL
| Twitter $AAPL
| AAPL Instablogs
Recent Market Alerts on AAPL:
| On the move
Transcripts on AAPL