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Peter Misek at Jefferies is cutting his iPhone estimate for the March quarter this morning after worse than expected iPhone sales at Verizon and AT&T.Overall, Misek is still bullish on Apple. He has an $800 price target, and he thinks iPads and iPhones will continue to be monster sellers.
However, in the very short term he’s worried about tonight’s results. Here’s the key paragraph from a note he just sent out:
A&T and Verizon CQ1 iPhone sales worse than we expected: AT&T activated 4.3M iPhones in Q1 (-43% Q/Q) vs. our expectation of 6M. Last week Verizon reported activating 3.2M (-24% Q/Q) vs. our expectation of 4M. iPhone share fell slightly at both (from 81% to 78% at AT&T; from 55% to 51% at Verizon). We believe this bodes poorly for Apple’s CQ2 guidance. Instead of 32M iPhone shipments in CQ2 we now believe 28M-30M is more likely (we currently estimate 32M).