“Deviating from a bandwagon of media reports interpreting recent supply chain rumors as a harbinger of iPhone’s first year-over-year sales contraction, PiperJaffray analyst Gene Munster believes production estimates have little to do with final reported sales,” Mikey Campbell reports for AppleInsider. “For a more accurate representation, investors should instead look to key data points from Apple itself.”
“‘We believe the December guide implies slight growth of iPhone y/y including CEO Tim Cook’s specific mention that iPhones would grow y/y,’ Munster writes,” Campbell reports. “‘An important factor that is missed in the attention to concerning March data points is that the optimism for iPhone growth improves as comps get easier,’ Munster writes, adding that investors are largely waiting for the upcoming Q1 earnings report to buy. ‘We believe the hyperconcern around the bigger picture that the iPhone franchise is healthy and will benefit over the next several years from the move to annual upgrade programs.'”
Read more in the full article here.
MacDailyNews Take: As we wrote earlier today:
Production has been reduced during the most obvious time to reduce production and, even though Apple’s iPhone has been gaining significant market share in pretty much every region, ignore that and instead, based upon one anonymous source who says Foxconn is only having their usual New Year’s holiday and not working overtime this year, panic and sell.
Makes a lot of sense, huh?
Assembly of “S” model iPhones is easier than non-“S” model iPhones by design. Foxconn could simply have had an easier 4th quarter and made the number of units Apple ordered this year, whereas last year was the first year for “6” model iPhones and therefore Foxconn had a much steeper learning curve.
But, of course, that logical interpretation wouldn’t cause share prices to decline.
Use these transparent manipulations to your advantage.
AAPL is like a buoy. Quick, it’s back on the surface! You there, analyst, and you, too, swim down and tug on the chain! Drag it under… lower, lower… Good! Now, quick, everybody jump on, and we’ll take a ride back up to the top again! — MacDailyNews Take, January 9, 2012
At the most basic level, it’s extremely simple: Pump, then dump. Foment, then buy. Rinse, lather, repeat as the SEC sleeps.
Foxconn plans ‘rare’ holiday as iPhone output fears rattle investors – January 6, 2016
Apple to release Q116 earnings, webcast live conference call on January 26th – January 5, 2016