iphone5 sales disappoint Wall Street. Apple announced it sold and delivered 5M iphone5's over the weekend. It also said it sold 2M preorders the first 6 hours and 1 million the following week. The phone is expected to go on sale in 22 more countries around the world by this Friday. So why is there disappointment? Apple was not prepared to deliver iphone5 sales to all who bought them and it is sold out in nearly every store around the world. Production is currently inadequate to met the demand. Wall Street only considers a sale when the phone is delivered and profits are in the bank. So, it was a disappointment when the company was not able to deliver on their orders. This negative news caused a knee jerk sell off today on the stock from it's Peak friday of $705 to $685 now. It has leveled off somewhat but many are continuing to sell off as more and more orders come in and are not filled. By Friday, the market for iphone5 will be in 100 countries. As these demands get delivered, and register as profits on the books, the stock is expected to jump to $912 in the first qtr next year. So, while knee jerk short traders are selling off, it creates a buying opportunity for those in for the long haul. (Personally, I put in another 10 share limit order ) I did not sell any at $705 since I would be selling at a cost basis of $500.
As for LTE speed, I observed a drastic reduction here on LTE Verizon speed from typical 16Mbit down to 5.5 Mbit as of Saturday. I have never seen it this low. I think the carriers are going to need to unleash the throttles on the service with so many LTE iphones hitting the towers. I think they weren't prepared for this impact.
