From a note to clients by analyst Samik Chatterjee that landed on my desktop Wednesday:
China Academy of Information and Communications Technology (CAICT) disclosed that international (Apple) shipments were flat m/m in April, which was better than the -18% average seasonal downtick observed historically, as absolute monthly units remained resilient at 2.7 mn.
However, the month of April did also mark the second straight y/y decline following five consecutive months of increases as the region moves into tougher comps relative to an easy compare for growth in 1Q.
For the industry overall, China mobile phone shipments declined -24% m/m in the region (see Figure 1 and Figure 2), which compares to an average seasonal uptick of +13% m/m seen historically going from March to April in the region.
The comparison of the trends between Apple and industry volumes indicates that Apple continues to gain share even as momentum in the industry has slowed recently. 5G mobile phone shipments declined -22% m/m to 21.4 mn units and accounted for greater than 78% of total shipments; and on a y/y basis industry volumes were up +30% y/y, which is in line with expectation for better seasonal trends for 5G smartphone vs. rest of the industry.
Maintains Overweight rating and $165 price target.
Cue Figures 1 and 2:
My take: Evercore’s Amit Daryanani had this yesterday, but for him the glass was half emply.