“Earnings season is here, and Goldman Sachs thinks at least one behemoth is going to beat expectations: Apple,” Kristen Scholer reports for The Wall Street Journal. “The tech giant should beat on earnings and revenues, driven by better-than-anticipated iPhone sales, the bank wrote in a note to clients Tuesday.”
“It sees calendar first-quarter iPhone sales hitting 53.6 million, compared to consensus of 50 million, per data compiled by FactSet,” Scholer reports. “The bank also projects Apple’s calendar second-quarter revenues and iPhone unit sales will come in above consensus. ‘Our above-consensus near-term views are driven by our supply chain tracker analysis, as well as our consumer survey, which shows stable demand into the June quarter.'”
“From March 31 through April 3, Goldman ran an independent online survey of more than 1,000 consumers, asking them if they planned to get the new iPhone 7 in the fall after it debuts. ‘Most importantly, our survey points to extremely strong pent-up demand for the iPhone 7, with 44% of respondents indicating that that they plan to buy the iPhone 7 in the fall,'” Scholer reports. “The survey also indicates a decent chunk of iPhone 7 sales, near 25%, coming from people switching from other platforms, like Android, suggesting that Apple will continue to gain market share.”
Read more in the full article here.
MacDailyNews Take: You don’t “switch” from an Android phone to a real iPhone, you upgrade. Wildly.