Apple Inc. (NASDAQ:AAPL) is standing in the way of its own products, at least as far as the larger version of its most coveted new edition of iPhone is concerned. In an article on CNET, Lance Whitney reported that in the most anticipated Christmas season, the Plus version is not expected to enjoy the same amount of success as its smaller buddy.
Whitney quoted a report by the KGI analyst, Ming-Chi Kuo. The analyst believes that heavy demand and production problems have dented the sales for the 5.5-inch iPhone 6, and the circumstances are not expected to change anytime soon, or at least by the end of this year.
It is a shame that even after cracking the winning strategy, Apple Inc. (NASDAQ:AAPL) cannot fully capitalise on it. Although the regular iPhone 6 boasts of a larger screen, measuring 4.7 inches, than its predecessors, it is still not in the Phablet category.
The wildfire like sales of the tech giant’s new gadget made Whitney to conclude that it has a good chance to overtake its rival, Samsung. This chance would have been a stark reality if Apple Inc. (NASDAQ:AAPL) didn’t suffer from operational inefficiencies. Samsung’s phablets govern a substantial share of the market and owing to the excessive demand for iPhone 6, Apple had a real chance to break that stronghold.
In his analysis, Kuo also gave an estimate of the number of iPhones that he expects Apple Inc. (NASDAQ:AAPL) to sell during this quarter. This number, which stands at 71.5 million is a 40% jump from last year’s number during the same quarter.
However, the scintillating Q4 figures do have a dark shadow lurking in the background, and that is the sluggish numbers for the first quarter of 2015, as sales are bound to feel hung-over after the Christmas party. 31.8 million phones are expected to be sold during that period, according to Kuo.
Let Warren Buffett, David Einhorn, George Soros, and David Tepper WORK FOR YOU. If you want to beat the low cost index funds by an average of 6 percentage points per year look no further than Warren Buffett’s stock picks. That’s the margin Buffett’s stock picks outperformed the market since 2008. In this free report, Insider Monkey’s market beating research team identified 7 stocks Warren Buffett and 12 other billionaires are crazy about. CLICK HERE NOW for all the details.