Analyst: Don’t Fear These iPhone Numbers
Jefferies analyst Peter Misek is sticking to his above-consensus estimate of 26 million iPhones sold in Apple’s (NASDAQ:AAPL) fourth quarter and expects that the company’s “typically conservative guidance [for the current quarter] will be more in line with consensus than feared.”
Misek, who has a $900 price target on the company’s stock, also estimated that Apple was producing and selling about 500,000 iPhone 5 handsets a day. The analyst is also positive about the estimates for the iPad Mini, which is expected to launch on October 23 after Apple sent out invites for an event on Tuesday.
Apple has been a huge winning stock pick for Wall St. Cheat Sheet Newsletter subscribers. Don’t waste another minute — click here and get more of our CHEAT SHEET stock picks now.
“Our survey of the 31 countries … indicates broad sellouts with three- to four-week delivery times for new orders across the board,” Misek wrote in his note to clients. “Stock price and press reaction [are] following typical post-iPhone launch script. Sixty days after the launches for the iPhone 4 and the iPhone 4S, Apple’s stock price fell 8 percent vs. less than 10 percent 30 days after the iPhone 5 launch. But 90 days after the launch of the iPhone 4 and 4S, Apple’s stock price recovered 17 percent and 9 percent, respectively. Also, the press coverage regarding the bumpy transition to the Apple Maps App and the scratches on the case similarly follows the iPhone 4 antenna-gate and the iPhone 4S battery and Siri issues. Despite these concerns, the 4 and 4S were huge successes, and we expect the same for the 5.”
The analyst added that his checks led him to believe that Apple had entered into a major partnership for the A7 processor with Taiwan Semiconductor (NYSE:TSM), with Intel (NASDAQ:INTC) possibly acting as an eventual foundry supplier.
Don’t Miss: Microsoft to Apple: We’re Coming For You!