This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Jobs Puts 'Antennagate' in Perspective

Stocks in this article: VZ GOOG MSFT

Steve Jobs did a great job of putting "antennagate" into proper perspective. As we officially put this in the rear view mirror I have three parting shots:

Traditional Media Outlets Duped

The wild west of the blogosphere had a few isolated reports of iPhone 4 antenna issues and then Consumer Reports released a suspect report that was contrary to majority experience and big media everywhere jumped on board. False perception overtook reality.

Kudos to Jobs for putting the small minority in its place. Big media outlets should have done a better job of filtering this news for their customers.

Actual statistics show 0.55% of iPhone 4 users have called AppleCare to complain about antenna issues and only 1.7% of buyers have returned the phone. The media created a crisis that did not exist as I explained in this week's CNBC interview.

iPhone 4 Sales May Hit 20 Million Units For Quarter

Antennagate will not hinder sales at all. On July 30, 17 new countries receive the phone and later this fall another 60 countries will be on line. The big question is how will Apple meet the demand?

In the U.S., consumers still wait two to three weeks before getting their phone's. The iPhone 4 had the largest sales opening of any smartphone in tech history and has already sold over 3 million units. The current quarter promises to be Apple's first to crack the 10 million units sold threshold.

International sales could propel the holiday quarter to crack the 15 million units sold threshold. And if Verizon (VZ) get's the iPhone in 2011, Apple could have a 20 million iPhone unit quarter. Do you think the stock will remain at the $250 level if Apple sell's 20 million iPhone's in a single quarter?

Future sales of the iPhone alone, not taking into account the success of the Mac and iPad lineup, will push the stock toward our $500 a share forecast.

Free Bumper Promotion Inconsequential to Apple's Bottom Line

This is when $45 billion of cash comes in handy. The company is so profitable because the executive/engineering team is so good at what they do.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,686.25 +329.38 1.90%
S&P 500 2,050.44 +37.55 1.87%
NASDAQ 4,730.3260 +86.0140 1.85%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs