Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Research In Motion Ltd (BBRY), Apple Inc. (AAPL): Smartphone Competition Heats Up

Page 1 of 2

Research In Motion Ltd (NASDAQ:BBRY) BlackBerry looks to release the Q5 in July in Britain, but are European sales enough to drive this stock forward?

A North American release hasn’t been confirmed, but the announced release in Europe has created a buzz. The lower-cost smartphone is a stripped-back version of the Q10, which has garnered substantial sales. The Q5 is priced at £350, which is about $540.

BlackBerry Ltd (NASDAQ:BBRY)

European sales have helped the company to sell about a million Research In Motion Ltd (NASDAQ:BBRY) BlackBerry 10 smartphones since that release early this year. The appeal is catching on, and an RBC analyst said recently the company would sell 14 million of the phones by the end of the year, while the previous projection was 11 million. This shows those who doubted Research In Motion Ltd (NASDAQ:BBRY) BlackBerry were wrong, and these additional sales will likely lead to market over-performance this quarter. I suspect people are more keen to use new Research In Motion Ltd (NASDAQ:BBRY) BlackBerry devices because of the lack of progress Apple Inc. (NASDAQ:AAPL) has made with its iPhone.

Is Apple’s dominance waning?

Let’s dispel a rumor about Apple Inc. (NASDAQ:AAPL) right off the bat. The company has consistently been criticized for not developing anything groundbreaking in a while. At the same time, firms such as Google Inc (NASDAQ:GOOG) and Sony Corporation (ADR) (NYSE:SNE) have been working on possible breakthrough technologies such as Google Glass and the Smartwatch. But it is very likely that Apple Inc. (NASDAQ:AAPL) is keeping the development of new technologies secret. This keeps investors who speculate on firms releasing groundbreaking devices more focused on companies such as Google Inc (NASDAQ:GOOG) and Sony Corporation (ADR) (NYSE:SNE), while Apple isn’t purchased by these investors, thus keeping the price down.

Apple Inc. (NASDAQ:AAPL) at any time could make a major breakthrough that catches everyone by surprise, such as the iPhone, iPad and Mac. The general public wasn’t aware of these groundbreaking technologies prior to their releases, and Apple’s stock took off not long after they went on sale. The current price at Apple Inc. (NASDAQ:AAPL) is reflective of not advertising the technology it is working on, in addition to high Samsung Galaxy S4 sales. But expect Apple to surprise once again with a new major release.

Samsung takes market share

Samsung looks to be gaining momentum in the smartphone market. In the first month that the Galaxy S4 was released, it sold 10 million units. With the Galaxy S3, it took twice as long to meet that volume. The firm is now considered to be on par with the iPhone in terms of functionality. And if momentum continues in this direction, new editions of Samsung smartphones will outsell those offered by Apple.

Analysts have downgraded the monthly sales of the Galaxy S4 from 10 million to 7 million. Analysts believe there won’t be as much appeal for the smartphone in Europe and South Korea, Samsung’s home base. Because of this, they say, the stock could become stagnant, and investors could return to Apple after seeing how the company is able to recover from when it was losing sales to Samsung in May. However, I don’t see a reason for slowing sales, and analysts were vague for their reasoning. However, they said initial sales estimates were overly optimistic and this could be due to slowing high-end smartphone sales.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!