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Event in March for Apple, Inc Could Be Great for the Stock


Apple Inc. is organizing its next big product release event  this coming March.  Apple Watch 2 will be the star of the show, which is scheduled to go on sale in April 2016, according to the report.

Probably because of worries about slowing iPhone development, Apple stock has been struggling since this summer. A March product release event can go a long way towards getting the stock back on track, yet, it depends  on what other products Apple introduces.

It was in September 2014 when Apple first introduced the Apple Watch, but it gave a more detailed look at the Watch in March. That imparts reliability to the report that it aims to release the second-generation Apple Watch in March 2016.

Ming-Chi Kuo, the well-connected Apple analyst, has  been commenting recently that Apple will launch a new 4-inch phone in the middle of 2016. This device, temporarily labeled the iPhone 6c, would basically be an iPhone 5s with upgraded hardware. Kuos predictions of good past performance of Apple product means the iPhone 6c would be expected to be included in a March product release event.

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Unit Sales Steady for iPhone 6c

The rumored iPhone 6c might be the most essential to Apple’s short-term performance of all these potential new products of Apple. Acceptance of the iPhone 6s and iPhone 6s Plus is obviously running behind that of the iPhone 6 and iPhone 6 Plus a year ago. Apple is on target to reach "normal" inventory levels for both models months before it did in last years product cycle.

Apple is still expected to post  iPhone sales development this quarter due to inventory growth, compared to last year, some timing development and stronger sales of discounted older models. However, without a new sales catalyst, Apple could post YoY iPhone shipment declines in the next couple of quarters.

It would not be the end of the everything, as the arrival of the iPhone7 later in 2016 should get iPhone sales increasing quickly again. However, the release of the iPhone 6c in March could help lessen the potential sales slowdown that might otherwise happen before the iPhone 7 goes on sale. 

It is not expected that iPhone 6c will be a massive hit. In the U.S. consumers new survey, only 20% stated they will choose a 4-inch screen size. However, that still represents a remarkable pool of demand that Apple could tap into with the iPhone 6c, and it could be the difference between steady iPhone sales and noteworthy decrease during the next two quarters.

Other Products Could Strengthen Non-iPhone Income Development

Apple needs to get better development from its other product lines to expand its income away from the iPhone. The new products from the March occasion could help Apple make development toward this goal.

Primarily, the Apple Watch 2 is expected to bring noticeable progress that drives higher approval of this new product line. For evaluation, in the first four full quarters after the product was released, Apple sold less than 6 million iPhones. The upgraded iPhone 3G drove sales of more than 20 million units in the succeeding four quarters.

In the same way, Apple sold 19.5 million iPads in the first four quarters of accessibility. The release of the iPad 2 affected unit sales to more than double to 47.6 million in the following four quarters. Apple has not stated precisely how much income the Apple Watch has produced, however, its clearly billions of dollars a year. It would start to have an important effect on Apple’s results, if Watch income were more than double in the second year of availability.

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The release of the iPad Air 3 in March could also be the last piece of the puzzle needed to return the iPad line to strong development in 2016.

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