“Shares of Samsung Electronics Co tumbled by more than 4 percent to a seven-week low early on Friday, hit by brokerages’ downgrades that have highlighted concerns of slowing growth for its mobile business,” Miyoung Kim, Hyunjoo Jin and Joyce Le report for Reuters. “The South Korean firm introduced two stripped-down versions of its flagship Galaxy S4 in recent weeks as it looks to widen its lead with products spanning both the high and cheap-and-cheerful ends of the market.”
“Its growing shift to cheap models, however, sparked concerns of margin decline and slowing growth momentum for its high-end model the S4,” Kim, Jin and Le report. “‘Sales of high-end handsets are lagging behind expectations, while low- to mid-end handsets are selling briskly worldwide,’ said Kim Young-chan, an analyst at Shinhan Investment Corp. ‘As the portion of low- to mid-range handsets is expected to increase in Samsung’s overall mobile phone business, this has also sparked concerns about thinning margins and lower growth.'”
Read more in the full article here.
MacDailyNews Take: Hey, maybe the slavish copiers can make it up in volume? (smirk)
[Thanks to MacDailyNews Readers “David E.” and “Jax44” for the heads up.]
Time for Samsung to drop
I want they copy Apple once again with their shares stall more then Apple did.
Me too . Samsung will face the same growth problem as it earns too much like Apple .
This is hilarious since it’s exactly what the fools are telling APPL to do.
Absolutely! Could not agree more with you.
PC N6K eh.
Exactly what I was thinking…they are concerned about Apple’s lower margins (lower in a YoY comparison with an unusual 2012 quarter), but push for Apple to release a low-cost iPhone to gain marketshare from Samsung/Android. Cook and company are much smarter than that – they will only release a low-cost iPhone if it makes sense to do so.
Time for AAPL rising. How come AAPL keep dropping again today?.
Especially with WWDC minutes away and plenty ‘o Apple announcements to make.
Computer trading algorithm:
Lots of news=sell low
More news=sell even lower
Let’s see, Galaxy S4, iPhone 4S. Coincidence? I think not.
AAPL dropping fast this morning.
Time to load up
Could be? Seems to be bottoming but on a day when nearly everything in the stock market is up AAPL is still down. WWDC will certainly be eventful. I don’t see the stock staying where it is after WWDC. I believe it will move sharply in one direction or the other. It wants to go up but next week is critical. Need something to give it a boost. I guess we’ll know by Monday evening whether or not we have anything exciting at WWDC. Needs to be a little more than what is expected. I may take a chance and dip my toe in today. But it is risky. It would be nice to see “and one more thing” really mean something Monday afternoon.
‘Dropping fast’ means it’s down 47¢ right now.
And now up nearly $3, so there ya go.
Oh, boo, hoo.
Samsung is android’s only value and they are reaching a saturation. There is a love affair with google. Google has some excellent marketers to convince Wall Street of their potential growth. What do they have ahead? A head camera that tech fanatics would only wear?
Hey Samsung, karma is a real bitch, isn’t it.
Hopefully, starting from next week AAPL’ll shoot up high like a rockets.
CNBC sums it all up best: “”Samsung has yet to prove its ‘creative’ innovation, that is, launching a product or a market segment that has not existed before in addition to prowess in manufacturing technology,” Fitch said.”
When Apple and China Mobile sign their agreement later this year, it will be a big hit to Samsung’s market share and sales. Apple isn’t sold on 67% of China’s cellular market yet and that is bigger than the USA market.
Turkey is turning to iPhone too. I don’t know but, used iPhones may work in Turkey, South and Central America and parts of Africa too. What do you think Apple is going to do with all those traded in iPhones? Samsung, game over. You are going down hard!
It’s all dependent upon those server farms.
It is but until Apple releases its larger display iPhone , Samsung is doomed ?
I mean it is NOT until …….
Samsung knows what the real market share numbers are.
@MDN The joke is: They lose money on every one they sell… Maybe they can make it up in volume.
Tightening margins doesn’t equal losing money. I mainly point this out because of all the anti-low-cost iPhone sentiment on this site.
Remeber when Apple cut the price of the original iPhone? They ended up making more money. They made it up in volume.
Yes and no. Originally, Apple charged users the full price of the iPhone. Then Apple cut a deal with the carriers, so the carriers subsidised the iPhone. While users paid $199 for a new iPhone, the carriers paid the rest to Apple. So… Apple got paid full price. And the volume also went up. And that’s only in the USA. It’s different in many countries. In my country, we pay almost the full price for the iPhone anyway, with no carrier subsidy.
I don’t know if Apple got money from AT&T or not at $599. However, I suspect they did at $399.
http://www.apple.com/pr/library/2007/09/05Apple-Sets-iPhone-Price-at-399-for-this-Holiday-Season.html
Poor Goosung.