Apple Stock News
Apple will not release its next earnings report until roughly a month from now, but analysts are already trying to figure out how the company performed for the quarter ending in June. iPhone sales estimates are coming in over 50 million devices sold, a remarkable figure considering the amount of phones it sold in the previous quarters. Further, it appears that demand for the Apple Watch is not falling off, and it is well above that of the first generation iPhone.
A decent percentage of the demand for the iPhone this quarter has come from China. Analysts are projecting that iPhone sales could come in as high as 55 million, with most projecting over 50 million. This amount would be a 42% increase year-over-year, and is truly remarkable considering the 74.5 million and 61.2 million it shipped in the previous two quarters. However, there is reason to believe that reaching these numbers shouldn’t be too challenging, as the iPhone 6 and 6 Plus only make up 30% of the total iPhone market currently. Sales of 50 million would increase that percentage to 39%, which is reasonable.
The iPhone 6 is having a blowout year as Apple customers waited to buy the new iPhone, not upgrading last year to the previous device. This is because the iPhone 6 was a huge upgrade, specifically because of the larger screen that users want. Now, there is no huge upgrade on the horizon, so users continue to upgrade to the new phones. Plus, the Apple Watch is now in stores, increasing foot traffic to produce more sales. Demand for this new device is holding up well, and is currently higher than the demand for the original iPhone was 6 weeks after it was launched, a good sign for the overall market for the device.