This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Behold: The Apple iFlop

Day Two reaction from analysts has also been mixed.

Suitably impressed by the introduction, Thomas Weisel analyst Doug Reid bumped up his iPad sales projections to 4.1 million this year, up from the 2.5 million he initially forecast. Reid sees a sales opportunity for the iPad, but not without a little impact on Apple's other products. The iPad "should drive incremental demand well above the minor cannibalization of iPod touch and Mac that may ensue," he says.

RBC analyst Mike Abramsky noted a few hits and misses, but sees where some of the 30 million iPod Touch users may trade up to the iPad.

"The iPad's launch partially exceeded hype, but -- owing to a) high 3G pricing and b) the absence of hoped-for features -- investors may be uncertain whether or not Apple has created a new computing category," Abramsky wrote in a research note Thursday.

AT&T (T - Get Report) managed to work its way into the iPad party, a surprise to more than a few observers who expected Verizon (VZ - Get Report) to get the first whack at the Apple iPad. We haven't heard the last on that, say analysts who expect Apple to produce an iPad for Verizon later this year.

On pricing, Apple managed to cover a broad range of iPad prices, which fall between $500 and $830, not including a $15 to $30 monthly data plan.

Depending on your personal inventory of gadgets and your access to cash, the iPad may not be a must-have item.

"Don't get me wrong -- the device is a nice 'want'," says Martin Taylor, an independent investor and former business development executive at IBM. "But considering that most people probably don't have a discretionary $500-$900 to spend on yet another electronic gadget, especially one carrying another subscription fee, the iPad is not a burning 'need'.

-- Reported by Scott Moritz in New York

Related Stories

>>Apple Unveils the iPad
>>Apple Tablet a Big iPod with Huge Plans
>>AT&T Sticks to Apple iPad
2 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
ADBE $78.27 -0.81%
AAPL $111.90 -0.90%
T $33.16 -0.84%
VZ $45.73 -1.00%
FB $90.47 0.82%


Chart of I:DJI
DOW 16,604.36 -50.41 -0.30%
S&P 500 1,987.18 -0.48 -0.02%
NASDAQ 4,808.3730 -4.3350 -0.09%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs