The evidence is quite convincing that customers elected to delay iPhone purchases in anticipation of a new device from Apple coming in autumn.
“That was evident both from the fact that iPhone sales declined by 16% from the June period, and the new iPhone 4S sold a whopping 4 million units in its first three days on the market last weekend,” Dan Gallagher reports for MarketWatch. “The surprise shortfall – relative to Wall Street’s expectations – sparked a sell-off that pinched about 5% of Apple’s market value in the day following the results.”
“In the days following the report, it appears that analysts have tempered their forecasts significantly, at least relative to Apple’s own official forecast,” Gallagher reports. “For the December quarter, Wall Street’s current consensus earnings estimate of $9.55, according to Thomson Reuters, is only 3% above Apple’s own forecast of $9.30 for the period. That’s a sharp contrast to the 34% premium that the Street assigned Apple’s guidance for the September quarter.”
Gallagher reports, “Ditto for the Street revenue forecast, which is only 2% above Apple’s guidance of $37 billion compared to the 18% premium given for the previous period.”
Read more in the full article here.
Related articles:
Apple’s latest quarter: The ‘miss’ that wasn’t – October 21, 2011
Verizon 3Q earnings held back by delayed iPhone – October 21, 2011
Apple a $100 billion dollar ‘disappointment?’ The analysts blow it yet again – October 20, 2011