Analyst: Apple Fever Spreading Across China

| Apple Stock Watch

“Apple fever is clearly spreading across China,” according to analyst Brian White of Ticonderoga Securities, an AAPL Bull. In a research note to clients, Mr. White confirmed that the white iPhone 4 had “quickly” sold out in all four of Apple’s flagship Apple Store locations in Beijing and Shanghai, and that pre-orders for iPad 2 in Hong Kong had also quickly sold out.

Noting that reports from Hong Kong had the white iPhone 4 selling out in the first hour of availability, Mr. White told clients in a research note obtained by The Mac Observer that, “Clearly, the ‘white’ iPhone 4 is very popular in China, and we believe this is a phenomenon that Apple will experience across most of Asia, including Japan.”

He added, “Today’s check is yet another data point that highlights the momentum Apple is building in China, which we believe will be one of the most important drivers of the company’s growth over the next decade as the country’s mobile Internet explodes in the coming years.”

In addition to Apple’s China Apple Store locations selling out of the white iPhone 4 on the first day, his checks on Friday found that supply had again sold out by early afternoon. He believes the iPad 2 will perform similarly well in the country, and said that its faster rollout in China compared to the 5 month wait for the original iPad will result in solid sales of the device.

Mr. White’s price target for AAPL is $612, well at the high end of 12-month price targets.

Shares in AAPL closed at $350.13, up $3.38 (+0.97%), on heavy volume of 35.9 million shares trading hands.

*In the interest of full disclosure, the author holds a small share in AAPL stock that was not an influence in the creation of this article.  

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Comments

RonMacGuy

What the heck?!?!?  iPhones selling out in China?!?!?  Don’t they know how terrible Apple is and how great android is?

CHINESE PEOPLE:  WALLED GARDEN!!  WALLED GARDEN!!  ESCAPE!!

??????  ??????  ??

Whew, that was close.  Thanks Alta Vista Babel Fish!!  You may have saved China!!  (I hope the Chinese characters come through!!)

Too snarky?  Sorry, I mean, Too MacRibby?

Thanks Sir Harry!!

grin

RonMacGuy

??????? ??????? ??

Sorry, this was supposed to be Chinese letters translating from Babel Fish.  MacO, you need to allow Chinese characters so we can warn the people of China about the perils of Apple products.  Please, redesign your comments interface to allow this!!  Please, it’s for the good of the world!!  I beg you!!

Constable Odo

I’m fairly certain that most consumers anywhere don’t even have a concept of “walled garden” when it comes to smartphones.  What’s available for your device is available and that’s it.  This crazy idea that Steve Jobs is harmfully trying to control the Apple ecosystem is really ridiculous.  Most iPhone users that I’ve met are very happy with what is available.  But most of the users I know are not tech-heads.

I always think about the story of Adam and Eve and they were told they could have everything in the garden except that one fruit.  And it bugged Eve to no end that God was being a control freak.  iOS doesn’t support Flash or porn apps and yet there are those few that think Apple should allow those two things despite so many other good things being available.

I’m glad to see Apple making headway in China and I hope they do everything possible to make Apple devices affordable for Chinese consumers.  If Apple can reach even 15% of the Chinese consumers that would be great.  There’s absolutely no reason that the iPad won’t be a hit in China.  It’s a solid device that has great battery life and can do a number of things very well.  Sure, not everything, but enough things to make it useful despite claims that it is not a useful device.

Lee Dronick

Too snarky?? Sorry, I mean, Too MacRibby?

General Chao’s Ribs

What is the price, in US Dollars, for the iPhone in China?

mhikl

. . . most consumers anywhere don?t even have a concept of ?walled garden? . . .

Excellent reality check, CO. We all need such reminders every now and again.

aardman

Chinese consumers are very, very, very brand conscious.  Perhaps even more so than the Japanese.

Apple, The aspirational brand in consumer tech, is going to make a killing in China.  Provided their production capacity is able to keep up.

RonMacGuy

I must admit, when I walked into a Singapore Starbucks and saw about 20 teenagers using primarily Apple products (I counted 16 Apple laptops, a dozen iPhones, and 2 iPads) I couldn’t help but be disappointed that I didn’t think to pre-order some iPad 2s and bring them with me to make a “small” profit off those who may want to be among the first in Singapore to purchase the newest iPad.

Boy, I really hope I didn’t offend anyone with some of my recent pro-Apple remarks.  Not like them to be so quiet.  Actually, whenever there is favorable Apple news they are usually MIA.  Hmmm.  Oh well.

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