On Thursday, Morgan Stanley analyst Katy Huberty pointed out that the second-hand smartphone market is much larger than most investors realize, giving apple an opportunity to increase its market share in developing countries, Zhitong finance app learned.
apple can increase its potential market share in emerging markets through a trade in program. By 2023, the company’s market share in developing countries will be comparable to its global market share. Earlier this year, Internet data center market researchers predicted that global smartphone sales would fall by 2.2% in 2020, but the agency also said that sales of used smartphones would grow by 13.6% annually to 332.9 million units by 2023.
Huberty said investors misjudged the size of the used smartphone market because iPhone buyers were much more able to trade used devices before reaching saturation point, which allowed apple to increase its share in the developing market.
according to the data from canalys, the smartphone market in the second quarter of this year plummeted by 14% due to the impact of health events, but Apple was the only manufacturer to show growth. The global iPhone shipment volume was 45.1 million units, an increase of 25%, which expanded its global market share to 15.8%. The company’s share of smartphone sales in some countries, such as India, has stagnated to just 1%. That may be part of the reason behind Apple’s launch of the $399 low-cost iPhone se this spring.
although market share is expected to surge, Huberty maintains its “above average” rating on Apple’s stock, with a target price of $431, about 7% below the current trading price. Older posts →