“When the consensus speaks, it sure is hard to argue with it. Last night, the consensus on the Apple (AAPL) call was this: No matter how the company spins it, there is a saturation of high-end phones,” Jim Cramer writes for Real Money. “Even though Apple sold a monstrous 31.3 million iPhones — about 5 million more than anyone was looking for — it doesn’t matter. The consensus holds that the market isn’t growing anymore.”
“In fact, the additional phones, at least according to the analysts, are ‘the wrong’ phones — because many are iPhone 4 and 4S models, and that’s not the Apple way,” Cramer writes. “This company is supposed to only sell brand-new phones, and the trade-down and starter-phone gambit is something the other guys do, not Apple. It’s worse. The consensus believes — even as Apple’s gross margins have stayed steadier than most had thought — that Apple product is now cannibalizing and that the iPhone 5 isn’t ‘good enough’ to entice new buyers.”
Cramer writes, “The consensus hates Apple too much. It is tired of Apple telling it how it is doing, and it is now telling Apple how the consensus thinks it is doing. ”
Read more in the full article here.
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