Morgan Stanley Issues 'Long Tactical' Call on Apple (AAPL); Survey Implies 190M iPhones in CY12
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Today's Overall Ratings:
Up: 7 | Down: 5 | New: 25
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Morgan Stanley (NYSE: MS) conducted a survey the week after Thanksgiving -- the "Alphawise" survey -- and received some surprising numbers regarding the iPhone.
Or, maybe not so surprising if you've been following Apple (Nasdaq: AAPL) all along.
According to the report, Apple might ship from 31 million to 36 million devices in its latest quarter, about 20 percent above Morgan Stanley's model of 30 million and 30 percent better than the Street's 28 million estimate.
Not only are fourth-quarter sales expected to beat views, but the Morgan Stanley analyst said sales are accelerating into the first quarter of calendar 2012. Numbers peg U.S. sales at 13 million and global sales of 41 million in the next quarter, according to the survey.
For all of next year, the Alphawise survey suggests Apple could ship as many as 190 million iPhones. Morgan Stanley currently sits at just 134 million units.
On the iPad, Morgan Stanley noted only 8 percent of U.S. consumers currently own a tablet device, but 27 percent of respondents said they plan to buy one. With Apple expected to cede about 4 percentage points of market share to the Amazon (Nasdaq: AMZN) Kindle Fire, estimates suggest total iPad shipments of 81 million globally, versus Morgan Stanley's outlook for 52 million. Morgan Stanley had modeled for 20 million shipments in the U.S. and 32 million overseas.
Should Apple trim its price on the iPad by $100 -- regardless of memory capacity -- Apple might be able to sell 11 percent more in 2012, bringing the total to 90 million units.
The numbers seem mind boggling, but also consider the business impact on sales. Why, just Wednesday the FAA approved the use of the iPad by pilots for replacement of paper manuals. Quite literally, the sky is no longer the limit for the iPad.
The Morgan Stanley analyst named Apple to the firm's "Long Research Tactical Idea" list in Thursday's report.
Shares of Apple are 0.87 percent better early Thursday.
Or, maybe not so surprising if you've been following Apple (Nasdaq: AAPL) all along.
According to the report, Apple might ship from 31 million to 36 million devices in its latest quarter, about 20 percent above Morgan Stanley's model of 30 million and 30 percent better than the Street's 28 million estimate.
Not only are fourth-quarter sales expected to beat views, but the Morgan Stanley analyst said sales are accelerating into the first quarter of calendar 2012. Numbers peg U.S. sales at 13 million and global sales of 41 million in the next quarter, according to the survey.
For all of next year, the Alphawise survey suggests Apple could ship as many as 190 million iPhones. Morgan Stanley currently sits at just 134 million units.
On the iPad, Morgan Stanley noted only 8 percent of U.S. consumers currently own a tablet device, but 27 percent of respondents said they plan to buy one. With Apple expected to cede about 4 percentage points of market share to the Amazon (Nasdaq: AMZN) Kindle Fire, estimates suggest total iPad shipments of 81 million globally, versus Morgan Stanley's outlook for 52 million. Morgan Stanley had modeled for 20 million shipments in the U.S. and 32 million overseas.
Should Apple trim its price on the iPad by $100 -- regardless of memory capacity -- Apple might be able to sell 11 percent more in 2012, bringing the total to 90 million units.
The numbers seem mind boggling, but also consider the business impact on sales. Why, just Wednesday the FAA approved the use of the iPad by pilots for replacement of paper manuals. Quite literally, the sky is no longer the limit for the iPad.
The Morgan Stanley analyst named Apple to the firm's "Long Research Tactical Idea" list in Thursday's report.
Shares of Apple are 0.87 percent better early Thursday.
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