Pre-orders Slow for Apple (AAPL) iPhone on China Mobile (CHL)

NEW YORK (TheStreet) -- Apple (AAPL) fell 1%to $554.75 on Monday after reports that its deal with China Mobile (CHL) are underwhelming.

In a note to investors Wedge Partners analyst Jun Zhang said pre-orders are not as high as expected for the iPhone 5s and iPhone 5c. China Mobile saw only 100,000 pre-orders of the new iPhones in the first two days according to Zhang. That's compared to 120,000 pre-orders for China Unicom (CHU) and 150,000 for China Telecom (CHA) back in September.

Zhang did not that iPhone sales on competitor Chinese carriers slowed after the China Mobile announcement, however. "Specifically, we believe iPhone 5S/5C sales dropped about 35% since China Mobile announced its iPhone deal from the week that pre-orders started," he wrote.

The iPhone 5s and iPhone 5c go on sale on China Telecom on January 17.

TheStreet Ratings team rates Apple as a "buy" with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:

"We rate APPLE INC (AAPL) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, good cash flow from operations, increase in stock price during the past year and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income."

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