“Rosenblatt Securities’s Brian Blair today reiterated an upbeat view on shares of Apple writing that the company is still not able to meet high demand for its recently introduced iPhone 6, and that Apple, along with Chinese vendors such as Xiaomi, continue to put pressure on Samsung Electronics in the smartphone market,” Tiernan Ray reports for Barron’s.
Ray reports, “Without disclosing specific sources, Blair offers the following details of raging demand, and raging production, for iPhone 6: ‘Our iPhone estimates for Apple’s December quarter have been above consensus for the last 7 months. Our view of 72–75 million iPhone units for the December quarter has recently seen competitive corroboration. This is likely due in part to Apple’s iPhone units still climbing, as the strong volumes are carrying a lot of companies right now. Apple is outperforming and it’s driving all supply chain volume currently. The Hon Hai sites that are manufacturing the iPhone 6/6 Plus are running 24/7 and there is no sign of meeting consumer demand as we enter the month of December next week. It is believed that global demand will not be met during the month of December. Conversely, iPad units remain weak and the year over year declines are expected to continue. With only incremental upgrades, the replacement cycle has stretched out and iPad demand has been relatively soft. Apple Watch volumes are still considered to be in the 12–15 million unit range for CY2015 with production slated to start in the January/ February timeframe.'”
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