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Apple Inc. (NASDAQ:AAPL) iPhone 7 Sold Out Already
Apple Inc. (NASDAQ:AAPL) iPhone 7
Date Published: 2016-09-15Author: Ophir Gottlieb
Written by Ophir Gottlieb
Preface
Apple Inc. (NASDAQ:AAPL) has reportedly already sold out of its inventory for the iPhone 7, before the device even hits stores.
STORY
Gina Hall, a contributor to The Silicon Business Journal, reported that Apple has informed consumers that "[t]he company will have no inventory to release to retail stores when the phone officially goes on sale Friday, so walk-in customers are out of luck."
While Apple Inc. alerted Wall Street that it would not be sharing week one sales of the iPhone 7 because of the likelihood of a supply crunch, it turns out that the crunch may have been larger than expected.
We reported on September 13th that both T-Mobile (NASDAQ:TMUS) and Sprint (NYSE:S) announced massive sales increases for the iPhone 7 relative to the iPhone 6. The figures tossed about hit the 300%-400% realm in terms of a sales surge for day one and it appears week one is staying the course.
APPLE INC. STOCK
The newly discovered demand for the iPhone in general, and the iPhone 7 in specific was really more like an open secret in broad daylight. Time and again CMLviz reported that pent up demand for the iPhone 7 was remarkably high based on various surveys, most famously by Goldman Sachs. While next year's iPhone will mark the ten year anniversary device and will likely have so many new bells and whistles that tech reports will be overwhelmed with features to cover, it turns out people aren't waiting for that device.
While Apple Inc. (NASDAQ:AAPL) saw iPhone sales drop for the last two quarters, which was a first time ever event, the shrewd investor could see that rather than some sort of calamitous destruction of Apple Inc., in fact the low(er) demand for the iPhone 6s simply meant more demand for the next iteration. Here is Apple's stock chart since its last earnings release on July 26th, 2016:
Further, it what is one of the most under reported pieces of news surrounding Apple (NASDAQ:AAPL), it turns out that the iPhone 6s is the most widely held phone in the world for any maker and the iPhone SE is the third most owned phone.
Cries of foul and the end of days for Apple Inc. (NASDAQ:AAPL) have been yet again wrong and foolish.
The author is long shares of Apple Inc. (NASDAQ:AAPL).
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