This is likely the point where investors have finally made their peace with Apple's smartphone margins coming down sharply over the next 12 months - while the volumes disappoint simultaneously. As AAPL breaks to $411, several nightmare scenarios have been priced in. Wall Street expectations for spring quarter iPhone volume have been drifting below 30 M for months. After a rash of recent negative brokerage notes, the number is now probably at 27 M and moving lower. Samsung delivered a barnburner of a 1Q13 and projections for Samsung spring smartphone sales have now been jacked up above 50 M units. We are now at a point where Apple is expected to shift little more than half as many smartphones as Samsung during the current quarter - a scenario that seemed impossible just one year ago. The two vendors were at parity as recently as during 4Q11.
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