There are many reports emerging of Apple doing well with its iPhone 11 series launched last month. The company appears to be making up for the decline in sales of its flagship phones in previous quarters with much better volumes in the third and last quarters of 2019. These trends are likely to continue into 2020 as well according to an analysis in Apple Insider.
Sales and Build Forecasts
The AppleInsider analysis forecasts that Apple will sell 42.5 million and 63 million iPhones in the third and fourth quarters of 2019 respectively. The corresponding figures for these two quarters in terms of the build are 47 million and 65 million. If the company manages to ship its full production within this year, the sales figure will be 70 million for the last quarter adding another 7 million to the figure mentioned above. If this does happen, then Apple’s earnings per share can get lifted by an additional 43 to 55 cents against the previously assumed EPS of $4.77.
iPhone SE2 Will Bolster the Success Story
While the iPhone 11 sales will be the base on which a trend reversal is predicted to occur, its continuation into 2020 is expected to be bolstered by the launch of iPhone SE2. There has been a lot written already on how Apple has made up its mind at last to launch this smartphone. Some reports have emerged on how the phone may not have a small screen like its predecessors. There is a prediction that the latest A13 chipset will be built on 7nm technology. 3GB could be the RAM and as Apple usually does and storage will be offered in 2-3 options, 32, 64 and 128GB.
Pricing of iPhone SE2 Critical to its Success
Apple will have to be clear that a certain amount of cannibalization will definitely occur with some of the older models losing sales with its launch of iPhone SE2. However, the price that it decides for the new phone will be critical to the upward graph of sales now being witnessed. An ideal level would be below $500. If Apple wants to gain market share in countries like India and China, then the pricing factor assumes even more significance.
Most of these are based on analysis and predictions offered. The real situation will be known when results are officially declared by the company.
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