Canaccord Genuity Technology Analyst Michael Walkley’s March channel checks indicated stronger sellthrough trends versus February levels with sales rebounding after a slow start to 2012. Highlights from his checks include:
- iPhone 4S remained the top smartphone in the U.S. market and he believes iPhones are outselling all other smartphones combined at Sprint (S) and AT&T (S) and selling at roughly equal volume to all Android smartphones at Verizon (VZ). Further, his global checks indicate the iPhone is gaining share in emerging markets and maintaining strong share in Western Europe. With strong iPhone sales and industry-leading ASPs, Apple generated a remarkable 80% share of estimated Q4/C2011 handset industry operating profits among the top eight OEMs with only 8.1% global handset market share;
- Checks indicated sales trends remained weak for both Research In Motion and HTC, with current smartphones from these OEMs struggling to sell versus the iPhone and Samsung Galaxy S II smartphones. While Walkley anticipates HTC will regain share in Q2/12 with the launch of the HTC One Series, RIM management admitted a challenging competitive environment for BlackBerry ahead of BB10 smartphone launches later this year;
- His checks indicated a sharp decline in Symbian smartphone sales, leading to smartphone share losses for Nokia; and
- He views recent Android tablet launches as weak compared to the new iPad. With competing OEMs essentially ceding the high-tier tablet market to Apple, he believes this contributed to the new iPad selling over 3M units during the first weekend.
Apple (AAPL : NASDAQ : US$618.63), Net Change: 19.08, % Change: 3.18%, Volume: 21,192,211
Nokia (NOK : NYSE : US$5.47), Net Change: -0.02, % Change: -0.36%, Volume: 18,400,570
Research In Motion (RIMM : NASDAQ : US$14.37), Net Change: -0.33, % Change: -2.24%, Volume: 27,036,766