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More on Apple: It looks as if the iPad Mini, premium pricing and all, is off to a decent start:...

More on Apple: It looks as if the iPad Mini, premium pricing and all, is off to a decent start: the white model sold out hours after pre-orders commenced, and shipping times now stand at 2 weeks. The black model is still available. Digitimes recently claimed the Mini's relatively high pricing was due to low yields for its cutting-edge GF2 touchscreen tech (previous). If that rumor is accurate (a big if), it could mean a price cut will arrive once yields improve and costs fall.
Comments (46)
  • I just can't over how the analysts and talking heads bash that the mini is too expensive, then bitch and moan that the margins from earnings is only 40%. Do these idiots ever listen to what they spew?
    Yet, the emperor who wears no clothes can lose money, miss "earnings" by a mile and they fall over each other praising the company. For amzn, I guess its all about "eyeballs" still, not hard cash. If that fool Bernie had invested the funds in the "legal ponzi" scheme known as amazon he would be a free man.
    26 Oct 2012, 01:16 PM Reply Like
  • I think the operative term in your comment is "idiots"!! I have finally reached the point where I don't even read the gibberish spouted by these idiots!
    26 Oct 2012, 01:42 PM Reply Like
  • Such "talking heads" are no idiots. They are part of the manifulating thugs. (market makers?) One side hypes it up, the other side bashes it after they took short positions. Scavengers.
    26 Oct 2012, 05:35 PM Reply Like
  • Redrum, AMZN has topped and looks to be in a downtrend channel. Maybe today's buying was partly speculative short term shorts covering. It is at the top of its channel, so Monday should offer a clue. Will it break out of channel, or drop back in?


    I had a slight OTM put that was in the black but didn't sell it yesterday, so expiring worthless. Shoulda coulda woulda. Tried for another seconds before close today but either some shorts were holding on to the last minute hoping against hope, or someone didn't want to miss a weekend move, and it popped out of reach and time ran out.
    26 Oct 2012, 09:56 PM Reply Like
  • I've pretty much given up trying puts with amzn. Worked out this time by shorting into the close, but for only a 10 point profit. I shorted shares @ 228 and covered in AH @ 218 after the earnings release. I had seen this before where there is an initial drop (like the quarter where the phony living social investment provided an "earnings" beat), only for the pos to go green. It burned my a$$ that I gave up at least an additional 10 points before covering. But as a wise man once told me, You'll never go broke taking a profit.
    27 Oct 2012, 10:08 AM Reply Like
  • you can go more than broke borrowing and selling short tho. i'd still stay clear of Amazon. it's hard to imagine it still hasn't come down to earth...but a New Detroit is emerging in California and the "fulfillment business" includes companies like Fed Ex, UPS and no less than Mr. Snail Mail himself the USPS. The latter has over 30 billion a year in revenues with no hope of ever seeing that number rise, no cost controls and no interest in providing anything other than the service it does currently. who knows what "cross shareholder relationships" exist between Amazon and say...Tesla...but clearly all the "fulfillment folks" are in need of a major technology upgrade...and Amazon is already there securing the CUSTOMER data for example. should they start offering Supply Chain Management solutions....well, let's just say Amazon has no trouble investing in its own business and has been rewarded beyond belief as a consequence.
    27 Oct 2012, 11:13 AM Reply Like
  • If the yield on the screens are improved then Apple will take more profit margin. The price will drop when a new model comes out (as always), not before.
    26 Oct 2012, 01:19 PM Reply Like
  • The price will maybe drop on the current model, if they keep it around (which I very much doubt since the next rev of the mini is likely to have retina displays). More likely is that the new model will come out at the exact same price as this one, just with better features and performance. Expecting anything different from Apple would be believing in Santa Claus...
    28 Oct 2012, 10:49 AM Reply Like
  • Been trading apple for a year now, and one thing i've learnt is that whenever the market worries about aapl margin compression is a buy. So i bought today.


    13.5 P/E is a gift, over $100 per share in cash, and growing fast.
    26 Oct 2012, 01:32 PM Reply Like
  • This definitely comes as good news. I bought in at a price slightly higher than what the stock is trading at today. I am debating whether to buy more today or wait until Monday.
    26 Oct 2012, 01:46 PM Reply Like
  • Oversold and good fundamentals! Just need some nerves to ride it down for a while.
    26 Oct 2012, 01:55 PM Reply Like
  • The fundamentals have never been in question for me. They are solid. It's the sentiment in the market that I can't predict. Looks like I need to summon some courage and doubledown!
    26 Oct 2012, 02:04 PM Reply Like
  • Sold-out iPhone like or really sold-out ?
    26 Oct 2012, 02:06 PM Reply Like
  • Increase the price! This is not a charity. We need margin.
    26 Oct 2012, 03:41 PM Reply Like
  • I ordered one for my wife at 10AM EST this morning and they were quoting two weeks delivery already.
    26 Oct 2012, 03:52 PM Reply Like
  • That's on the entry level model with just 16GB of storage in black and all models in white. The 32GB and 64GB black iPad mini are still available for delivery on 11/2 as of Sunday mid-morning.
    28 Oct 2012, 10:29 AM Reply Like
  • Great buying opportunity in the 595-600 range. Hope those who were forever waiting, got the chance. Calls (Jan/Feb) also at interesting prices, particularly if spread against upside calls.
    26 Oct 2012, 03:53 PM Reply Like
  • I added some more today. now 13 deep in the money calls, 12 are under water.
    26 Oct 2012, 03:56 PM Reply Like
  • They are still adding, stock still dropping, daily. Down, down constantly. Not sure what the argument against the downtrend is all about. Clearly the market is reducing its expectations for Apple isn't it? At todays low AAPL was down 16% from its very recent peak. When it hits -20% are we going to throw in the towel? That's 564 ish.
    26 Oct 2012, 04:53 PM Reply Like
  • About 585.00 is a test of a major moving average. Apple guidance for the next quarter is 25% below analysts estimates, which is significant.



    AAPL is not immune from an overall market correction. Headwinds in Europe remain, and there is a great deal of uncertainty over the fiscal cliff in the U.S. We have yet to have a true overall market correction yet this year.
    26 Oct 2012, 05:37 PM Reply Like
  • when does apple not set guidance well below analysts estimates. I thought this was the trend for them for awhile now.....
    26 Oct 2012, 06:40 PM Reply Like
  • Shorting Put $550 february is a safe bet then.
    26 Oct 2012, 09:47 PM Reply Like
  • Lower guidance history? Yes, but not by 25% less. Many prominent (AAPL bulls) analysts were predicting a blowout next quarter due to the launch of iPhone 5 and iPad Mini.
    28 Oct 2012, 02:00 PM Reply Like
  • Samsung sold 2x more Galaxy phones than Apple in Q3.. Tablet has lower margin than Phone. The bright time for Apple is Over!
    26 Oct 2012, 07:23 PM Reply Like
  • Good luck on that comment.


    I'm not saying you are wrong because I'm not arrogant enough to think I know any better then you do (even though I think that last sentence in your post is ridiculous). However, Apple is the single cheapest stock I've ever owned that continues to grow at a double-digit pace. Think about this, what other company trades at 9x ex-cash and has a product line like AAPL? What is Amazon trading at now? Therefore, I'll hold my Apple shares, add more if they become cheaper and wait for the January 2013 reporting period.


    Samsung is a good company and I enjoy many of their products. However, until I see stories on TV about people standing in line waiting to buy a Samsung phone or tablet, I'll continue to sleep well at night and wait for the Christmas buying season to commence.


    Just my .02


    27 Oct 2012, 01:09 AM Reply Like
  • Try the I phone 5. You will be amazed at it's speed which has been as tested 10 times faster than the 4S. One tester in Manhatten recently posted that his I phone 5 was faster than his home wi-Fi. this from C-NET:


    The data access via 4G LTE is stunningly fast. This is no gentle upgrade. In my home on the Upper West Side of Manhattan, I tested both my AT&T iPhone 4S and the AT&T iPhone 5 at the same time. The iPhone 4S averaged a 2.4Mbps download speeds over "4G," whereas the iPhone 5 averaged 20.31Mbps. In comparison, my home wireless Internet via Time Warner averaged 9.02Mbps at the hour I tested (1:30 a.m.).
    27 Oct 2012, 03:38 PM Reply Like
  • There are not too many Samsung stores, to generate similar images. However, there are a few Microsoft Stores.



    Quite an impressive launch in Manhattan for the Surface RT. Lines and crowds. Of course we know from Apple events and news coverage that this is just a PR opportunity, and people like standing in line.


    Speaking of which, the latest Samsung ads about people standing in line are getting quite a bit of chatter. Even people I know with iPhones think they are funny and well done. Of course it depends upon public perception and trends whether or not Samsung continues to grow Galaxy S III sales volumes.
    27 Oct 2012, 03:51 PM Reply Like
  • "Samsung sold 2x more Galaxy phones than Apple in Q3.."


    Samsung sold infinately more Galaxy phones than Apple, since Apple sold no Galaxies at all.... so you're already way off.... lol


    To be serious, it makes little sense to compare this quarter's sales, when there is only a week's worth of a supply constrained iP5....You are really reaching there to either dog Apple or to promote Samsung....such a mistake like that could not be unintentional.... unless I give you no credit whatsoever as far as your thinking ability.


    "Tablet has lower margin than Phone. The bright time for Apple is Over!"


    Yep, with iPad margins that has always been so, you think that the iPad product was a huge blunder for Apple, which will lead to its demise? Sounds like snap-judgment with little substance....


    With such a massive product refresh, the overall profit margins will be less than usual.....that has little impact over the long run.
    27 Oct 2012, 09:33 PM Reply Like
  • Pre ordered my 4g 64gig mini last night.
    My stocks may be getting hammered but at least we are getting cool new gadgets out of Apple.
    26 Oct 2012, 08:58 PM Reply Like
  • I ordered total of 8 mini today, using different account because they limit 2 per order. First order at 6:15 am and delivering time was 2 weeks already.
    26 Oct 2012, 09:42 PM Reply Like
  • As already said here, Apple doesn't cut prices. It improves value. A high end Mac today is the same price as a Mac Plus was, or a IIsi, or a Quadra.


    So clearly there are reporters on this beat who don't particularly follow Apple specifically. You might think the big services could arrange quality coverage of the biggest corporate story on the planet, but they don't, so maybe we know why they are disappearing daily.


    So my point of this post is to observe that the people writing this coverage 1) don't trade or invest, 2) aren't particularly educated in markets and in some cases might just have general lib arts degrees, 3) are writing for an audience of mostly casual news readers or outright voyeurs, 4) make money on the impact of their phrasing rather than its accuracy, and 5) in general, could really care less about much except Miller time.


    I really appreciate the community at SA, with only the occasional exceptions, and most of those have many of the same traits as these formulaic volume story writers.
    26 Oct 2012, 10:08 PM Reply Like
  • My good friend told me he plans to buy a mini. He already has a regular iPad and a couple of Android tablets (which says something about potential market saturation vis a vis tablets).


    I reminded him that he claimed he didn't like my 7" tablets because they didn't have enough viewable area and that the iPad at 10" was, as Steve Jobs claimed, ideal.


    He said 'yeah the bigger one is nice but having the option of a smaller cheaper one is good' although I don't know how he reconciles internally the fact that he already has smaller cheaper tablets, already has a large screen tablet, and he can't use more than 1 at a time.


    In any event, it reminded me just how strong the Apple reality distortion field continues to be.
    27 Oct 2012, 08:45 AM Reply Like
  • for one thing, your non Apple "mini" cant connect by cellular as Apple can.
    27 Oct 2012, 03:40 PM Reply Like
  • My Playbook connects for free without a plan right through my Blackberry cellphone.
    29 Oct 2012, 09:30 AM Reply Like
  • "Samsung sold 2x more Galaxy phones than Apple in Q3.. Tablet has lower margin than Phone. The bright time for Apple is Over! "


    Deja vu anyone ???? Every product release is followed by a slew of these comments, which are ridiculous. The "geniuses" have spewed this nonsense at $160, $220, $360, and now $600.


    Notice any trend here??? Short away "geniuses", and good luck! People love the stock because it and the company perform.
    27 Oct 2012, 09:24 AM Reply Like
  • This just in: Apple's not cutting the price on the iPad Mini once they move down the cost curve. If you're too cheap to spend $329 on a high quality product, Apple doesn't want you as a customer.
    27 Oct 2012, 09:38 AM Reply Like
  • But, the 69 dollar kindle is such a better deal....not for the company but for the people with kids that can spill soda pop on it and that shop at Dollar General....
    28 Oct 2012, 08:42 AM Reply Like
  • Some Apple investors are like little children. The stock has increased geometrically over the years. It's apparently come as a revelation to some that stocks go up AND they go down. When the price goes down just buy more, quit complaining and stop panicking over the slightest bit of negative news. Sheesh.
    27 Oct 2012, 09:45 AM Reply Like
  • I find it very interesting that the media constantly post headlines about Apple products selling out pre-order. Best buy sold out of the Nokia Lumia 920 in all colors as shown on their website. What kind of media headline did Nokia get? disappeared from the Best Buy website??? No one could believe that it sold out. You can make an argument of supply. I can make the same argument on the Ipad mini. Analysts are constantly bashing Microsoft and Nokia for the upcoming Windows Phone 8. Come on Isheep...There is more than enough room for another ecosystem. The Iphone 5 does not top the charts in other countries. The U.S. is not the only market. China has way more mobile customers and The Lumia will released on China Mobile. There are no reports of the Iphone 5 being released on China Mobile as of yet. The Iphone finally has a formidable challenger in the Nokia Lumia 920. Take some time and view the Nokia Lumia event in NY done on 9/5/12 on youtube. The major thing that Iphone has going for it is the AppStore. Just like Android was an underdog in the beginning...Their play store caught on with apps. Microsoft will also beef up their app count as well. All companies mentioned are great companies. This is America and our economy thrives on competition. Although Apple is a great company, their products are way overpriced and they are not innovating any longer. It is time to take some attention away from Apple and allow innovation and real competition to enter the marketplace! Apple is slowly losing their crown. Yes...they changed the way that people do things. However they also created a sheepish community not an ecosystem!
    27 Oct 2012, 11:47 PM Reply Like
  • All in all...competition is great for our economy. It makes for better products and services from competing companies. Unfortunately, it is has gotten to a point where no one can say anything negative about Apple.


    We all express our opinions differently. No matter the intention, someone will take offense. My intention was not to be disrespectful. Just like most opinions posted on this site, to prove a point.


    I am sure we will debate,argue or take offense again in the future. Isn't that why this site is so popular after all? Until then...
    28 Oct 2012, 10:00 AM Reply Like
  • Apple doesn't have shills. It was the Lumia 920 prototype that slipped past a product lab high security barrier and got lost in a bar.
    28 Oct 2012, 02:04 PM Reply Like
  • Competition is normal, and generally good for the consumers....if guys get disrespectful on either side, then take issue with that person, not all Apple consumers or investors. See how some guys just ask for trouble, that is plain stupid.....
    28 Oct 2012, 03:34 PM Reply Like
  • Oh my God. I just bit into an apple and saw half a worm. What have I done here?
    28 Oct 2012, 07:55 PM Reply Like


    Like this. Definitely disrespectful, though it is satire.


    The thing with trends is that ignoring pop culture means some people may miss a shift in trends. Fans of anything imagine a world saturated in the thing(s) they like. Trends change like the wind, or like fashion.


    We are at a point were there are very subtle differences between devices, at least for the average consumer. Most consumers are not well versed in those differences, or they are uninformed of the capabilities of other choices. Style, design, and ease of use will always mean allot, especially with most people never reading an operating manual.


    I don't expect Apple to slide nor plummet, unless the entire market goes into a plunge. Certainly possible to get dragged down with everything else, but that is a macro concern for almost any company. Even if Apple were to quit growing, or only grow at the pace of the segments in which they sell, they have proven they know how to be profitable. A mature company might end up range bound, but if shareholders are okay with the dividends, then not too many shareholders might sell off. I still see many expectations of $1000 a share (or more), but I think it would be wise to not expect that in the near future. Never be afraid to take profits.
    28 Oct 2012, 08:15 PM Reply Like
  • I agree Herr,
    Differences are starting to be less obvious, and everyone in the space will need to make bigger steps in order to differentiate themselves from the pack....


    I don't consider mobile computing to be in any way a fad, though....anymore than laptops were a fad....


    Expecting AAPL stock to flatten out is one possible scenario, but probably not just yet....I will wait till next earnings, then see what directions the company will go in before making a judment.
    28 Oct 2012, 09:16 PM Reply Like
  • Fashion is not a fad, and we always have fashion, yet what people like in fashion changes all the time. I did not mean to imply that smartphones are going away, nor tablets. Quite simply the landscape is changing, and the devices/companies/brands consumers choose are changing. No one should be surprised by this.
    28 Oct 2012, 09:30 PM Reply Like
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