iPhone 6/Plus hit with ‘unprecedented demand’ as analysts attempt to gauge first-weekend sales

“Thousands of people queued up to greet the iPhone 6 as it went on sale,” Tiernan Ray reports for Barron’s. “Analysts today are of course pre-occupied with what they see as a strong turnout, but they can’t agree on what it means for the opening weekend numbers for Apple.”

“Brian White of Cantor Fitzgerald, who has a Buy rating, and a $123 price target, describes the lines at the flagship Fifth Avenue store in New York with astonishment: ‘Our visits to Apple stores in NYC this morning highlighted lines that we would describe as unprecedented relative to our checks in recent years… We believe this iPhone launch is being met with unprecedented demand.’ He thinks Apple can sell 9.5 million to 10.5 million despite supply-chain constraints,” Ray reports. “Barclays’s Ben Reitzes, who has an Overweight on the stock, and a $116 price target, writes that ‘the launch of both phones was met with great enthusiasm across the United States and reports worldwide indicate that response to the launch has been stronger than expected.'”

Ray reports, “Maynard Um of Wells Fargo reiterates a Market Perform rating, and an $89 to $99 ‘valuation range.’ He was also in New York today, talking to buyers. He sees upside given people are buying the 6 Plus and buying both models in higher memory configurations.”

More from analysts in the full article here.

Related articles:
Apple iPhone 6/Plus sales primed to set new all-time smartphone record – if supply allows – September 19, 2014
CNN: Apple’s iPhone 6 goes on sale, and the lines are insane; iPhone 6 passes first public drop test – September 19, 2014
Citigroup: Demand is off the charts for Apple’s 64-bit Phone 6/Plus – September 19, 2014
iPhone 6/Plus queues far larger than for iPhone 5/5s launches – September 19, 2014
Mother of all upgrades: Huge crowds greet Apple’s new iPhone 6 and iPhone 6 Plus – September 19, 2014
Apple’s iPhone 6 and iPhone 6 Plus debuts worldwide to long lines – September 19, 2014
Gold iPhone 6 Plus price hits $3,600 in China as delay fuels black market – September 18, 2014

24 Comments

    1. Wall Street is forward looking. Always has been. This being the case, new iPhone launch is already baked in the stock price. It’ll probably drop to low 90’s before breaking new highs.

      1. “This being the case, new iPhone launch is already baked in the stock price”

        perhaps your are right but then it means that they have a stupid low opinion of Apple because Apple valuation is ridiculously low.

        Apple’s P.E is about half Googles. (and Google hasn’t had a hit in years, if you count Motorola losses Android is a money loser and it’ll take years to break even )
        Aapl P.E is even lower than Msft with its job cuts.
        Apple’s P.E is lower than the S&P AVERAGE!
        I don’t even to mention the crazy valuations of Netflix, Amzn (which lost money).

          1. If selling pressure exceeds buying pressure, the stock drops.

            If buying pressure exceeds selling pressure, the stock rises.

            If selling pressure is equal to buying pressure, the stock remains constant.

            If you want the stock to rise, buy, buy, buy and tell all your friends that it is about to take off!

      2. Wrong. Wall Street misinterpret long lines and sell outs as low production yields. As usual they will be surprised at the record breaking sales over the weekend. The FUD they spread pushes the stock before apple can release its numbers. Once the numbers are out they will not be able to hold the stock down.

          1. Hey,

            No need for apologies.

            It is not ATT. Some of the employees. I got the 1st iPhone at Apple Store.
            Had to go twice to ATT to make my new iPhone work. Manager apologized for his workers screw up.

            Normally it should not take more than few minutes, but sometime it does.

            1. When I saw the “we are experiencing high demand” part I laughed and figured it would take an hour or so… I was wrong.

              My mom also had the same problem with her Gold iPhone 6, it finally switched over night.

              I understand that normally.. it shouldn’t take more than a few minutes, after 4+ hours I was getting kinda upset. I had to be somewhere for another 5 hours.. So on my way home after 9 hours of it not being switched, I stopped into an AT&T store that was still open for 15 minutes and got them to redo the activation.
              The guy told me I wasn’t the only one to come in to the store after doing it online.

  1. The expectations are that iPhones would be a big hit. But I think it is even surpassing analysts expectations so the actual sales number and earnings could surprise to the upside. The stock should return to a p/e of 15 to 16 and the stock price will follow it’s earnings. Analysts will start raising their numbers for fiscal Q1.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.