Apple Inc. (NASDAQ:AAPL) awful run in the market continues even as Usell.com Co-founder and CEO, Nik Raman affirms that the company still commands a strong a demand for the newly released iPhone 6. During an interview on CNBC, Raman reiterated that many people were offloading their iPhone 4s and iPhone 4 in pursuit of the newly introduced iPhone 6.
Apple Inc. (NASDAQ:AAPL) stock is currently trading below the $108 mark signaling that it could sink even further as the downward trend has been ongoing for quite some time. Raman notes that price depreciation for the iPhone 4S is far much steeper than that of iPhone 4 seen last year as more people continue to trade in their devices thereby pushing prices down.
“The supply drives the prices down. We see a huge number of people coming in and trading their iPhone 4S upgrading to the six a much more than we saw last year upgrading into the iPhone 5 and 5C,” said Mr. Raman.
The growth in demand for iPhone 6 is sure to be good news for Apple Inc. (NASDAQ:AAPL) in terms of earnings for this quarter considering, there is a belief it had an impressive run in terms of sales in December. The depreciation in prices for second-hand devices according to Raman is a clear indication that people are aggressively upgrading into other models especially the newly released.
Raman expects the growth in demand for iPhone 6 to continue in the long run as iPhone 6 is a completely different phone when compared to the previous models in terms of design and capabilities.
“The biggest thing is the size of the phone, so the size of the phone is huge. Remember if someone is moving from an iPhone 4S they are also getting 4G LTE, so they are making a huge leap in technology. If you are moving from the iPhone 5 it’s more for the screen size, but either way you are getting a much better device,” said Mr. Raman
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