iPhone 4S Sales Declining in Developed Markets

Six months after it was introduced to the world, Apple's iPhone 4S is still one of the most wanted devices on the global smartphone market. However, compared to the frenzy that followed its release and the record-breaking sales experienced in the first weeks of availability, its popularity has since slowed.

This is especially the case for developed markets such as the US, where the more sophisticated customers prefer LTE smartphones - with the iPhone 4S and Siri losing its appeal.

T. Michael Walkley, analyst at Canaccord Genuity, has suggested in a recent note to investors that the current downward trend for iPhone on certain markets, including the domestic US, will continue.

In the second and third quarters, the top manufacturers from the Android side of the battle are expected to release LTE smartphones.

"For example, our March channel checks at Verizon indicated a stronger mix of LTE smartphones, and we believe Verizon has strong June quarter promotions planned for LTE Android smartphones," predicts Walkley.

As this is only a marginal situation, with the iPhone 4S doing well globally, the analyst is optimistic about Apple. He predicts that next week at the earnings call, Apple will announce worldwide sales of their 32 million iPhones, 12.35 million iPad, and 4.42 million Macs.

Consequently, he has increased the price target for Apple stocks from $710 to $740.

Source: AppleInsider