Analyst can’t wait for iPhone to go on sale in China before proclaiming ‘disappointing sales’

“Earlier today I posted an item from Northeast Securities analyst Ashok Kumar asserting that sales of the Apple iPhone in China have have been disappointing,” Eric Savitz blogs for Barron’s. “Here’s the original text of the relevant portion of the post:”

Is Apple (AAPL) running into trouble in China?

Ashok Kumar, analyst with Northeast Securities, asserted in a brief research note this morning that the much-ballyhooed deal for sale of iPhones through China Unicom (CHU) so far has been something of a dud.

“Sales of iPhone through China Unicom, to state it mildly, have been disappointing,” he writes. “Volumes since launch have run at a fraction of stated goals.”

Kumar isn’t offering any hard numbers, and Apple hasn’t yet, either. Meanwhile, Kumar remains positive on Apple’s shares. Apple will report earnings a week from today.

Savitz reports, “But here’s the thing. An Apple spokewoman notes that sales at China Unicom haven’t actually started yet. Which would make it hard for them to be disappointing.”

In an update, Savitz reports, that Kumar “notes that the phone had been available for pre-sale since the beginning of the month, and that is where he concludes the phone is so far disappointing.”

Full article here.

32 Comments

  1. > “Sales of iPhone through China Unicom, to state it mildly, have been disappointing,” he writes. “Volumes since launch have run at a fraction of stated goals.”

    > In an update, Savitz reports, that Kumar “notes that the phone had been available for pre-sale since the beginning of the month, and that is where he concludes the phone is so far disappointing.”

    How can you have “volumes” on a pre-sale? This guy obviously didn’t (before) and doesn’t now have a clue.

  2. The guy is presenting (as a lames of all possible excuses) an argument that he was actually talking about “pre-orders”, which supposedly were supposed to bring in some 300,000 customers, and instead they brought in a few thousand.

    Anyone who knows anything about Chinese consumer will know that there is no chance in hell he/she would ever consider giving someone his/her money and not get ANYTHING in return. While Americans have no problem with paying for something upfront and waiting for it (for weeks, no less), without fear of being swindled. This just don’t fly in China (or most of the developing world, for that matter).

    Even if Mr. Kumar actually meant that (and I doubt), his “research” is still worthless.

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