iPhone 4S Sales Slowing in Developed Markets Despite Being Strong Globally
In a recent note to investors, analyst T. Michael Walkley of Canaccord Genuity told investors that iPhone 4S sales are slowing in “certain developed markets.” According to him, the slowdown is an attribute to a fresh crop of dual-core and quad-core Android offerings that are set to release in the near future. It was also noted that some customers are beginning to wait for the next generation iPhone to arrive.
Walkley continued to write “For example, our March channel checks at Verizon indicated a strong mix of LTE smartphones, and we believe Verizon has strong June quarter promotions planned for LTE smartphones.” Analysts don’t seem bothered by this trend though, as evidenced by an increased price target issued in the same report. Canaccord Genuity further reiterated its “buy” rating for Apple stock and even increased its target to $740 up from $710. Furthermore, despite the projected slump for the iPhone, the global sales of the iPhone continue to remain strong and Apple is still expected to announce that it sold 32.6 million iPhone handsets in Q2 2012.