Apple hits record as iPhone 5 seen sold out

Apple Inc. rose to a record after the company said the iPhone 5 won’t ship for two weeks from its online store, fueling speculation that the latest model had sold out.

The shares gained 1.5 percent to $692.86 at 9:46 a.m. in New York, and earlier reached an intraday record of $693.20. Through yesterday, the stock had advanced 69 percent this year.

Based on the two-week delivery estimate currently on the company’s website, the iPhone 5 would ship Sept. 28. When Apple unveiled the latest model iPhone earlier this week, the Cupertino, California-based company said pre-orders in the U.S. and eight other countries would begin today and the product would be available on Sept. 21.

“The initial batch is sold out,” said Shaw Wu, an analyst at Sterne Agee & Leach Inc., in an interview. He raised his sales estimate for the quarter ending in September to 26 million units, from 23 million. “We think that could turn out to be conservative.”

Apple didn’t immediately respond to a request for comment.

While previous iPhone models sold out quickly online, “I don’t think it happened quite this fast,” said Tavis McCourt, an analyst at Raymond James & Associates, in an interview. “The speed here is unusual.”

Mobile-service carriers AT&T Inc., Sprint Nextel Corp. and Verizon Wireless have the iPhone available to pre-order with delivery by Sept. 21, according to the companies’ websites.

As many as 58 million units of the iPhone 5 may sell by the end of the year, according the average estimate of analysts surveyed by Bloomberg. That could generate as much as $36.2 billion in sales for Apple, according to data compiled by Bloomberg.

Bloomberg News

Copyright 2014 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

comments powered by Disqus
Check out Futures Magazine - Polls on LockerDome on LockerDome