Apple “sold a total of 74.8 million iPhone units; that figure is an all-time high but was slightly under consensus estimates for around 75 million units, although many buy-side investors were expecting even worse. Importantly, the average selling price for the iPhone came in at $691, crushing the $674 consensus estimate,” Jim Cramer and Jack Mohr write for TheStreet’s Real Money. “This is a key point as it shows that the phone still demands a premium price despite the difficult currency environments.”
“In addition, while CEO Tim Cook noted that the March quarter will be the company’s toughest comparison for the iPhone, he specifically pointed out that the franchise remains healthy and is ripe for growth,” Cramer and Mohr write. “To that end, the iPhone experienced the highest rate of Android switchers ever seen; also, 60% of the installed base is still in older models (iPhone 4, 5 and so on), leaving room for more potential upgrades.”
Cramer and Mohr write, “Ultimately, we believe that expectations have been reset for the year and the company is set up to outperform given the many catalysts (China, new iPhone upgrade program, new phone models) throughout the balance of this year and in the future.”
Read more in the full article here.
MacDailyNews Take: Yes, this too shall pass and Android will only fall further and further behind.
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