Chris Lau, Kapitall: The Lumia smartphone, already powered by Windows, is now owned by Microsoft. And they're making it cheaper.
Demand for what is now
Windows-powered premium Lumia smartphone may rise in the near future, thanks to a price cut and an unmatched camera. This might also help Microsoft shares, which have pushed into the $30-36 range since July. Microsoft will be hoping sales increase before it reports earnings on October 14.
sold its devices unit to Microsoft
, could also benefit from the positive strength in sales of Lumia.
A price cut is likely to boost customer interest in Lumia smartphones. Microsoft
that it lowered the price of the Lumia 1020 to $199, down from $299 on a 2-year contract with
. Microsoft is even throwing in a Nokia camera grip, which it says is worth $79.
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AT&T shares have been mostly flat in the last six months, compared to Microsoft and Nokia. AT&T offers a $1.80 per share dividend, which is a yield of 5.24%.
Click on the interactive charts below to see data over time. Sourced from Zacks Investment Research.
At a lower price point, consumers previously not interested in the Lumia 1020 might consider the phone’s feature set. The 1020 has a better backside illumination sensor, optical stabilization, six lens elements, and a 1280×720 screen.
No other smartphone maker compares to the Lumia 1020’s camera, but
is close. The conglomerate and maker of Android smartphones developed a QX10/QX100, which supports an attachable lens-style camera.
Sony shares are outperforming Microsoft over a one year period. This can be partly attributed to shareholder activism, calling for the company to split its entertainment unit to raise the value of its shares: