Analyst on production: Macs up, iPods down
updated 03:25 pm EST, Mon February 4, 2008
Macintosh Production Up
Bank of America’s Asian sources claim that Apple has increased production of both desktops and notebooks by 20 percent in January, partly fueled by the introduction of the MacBook Air. Despite rising Macintosh production, iPod production fell 10-20 percent in January, down 30 percent from December, according to AppleInsider. Bank of America believes future iPod production levels will drop 5-10 percent through the first quarter of the year, implying overstocked inventory and slowing sales.
iPhone production continues fluctuating with severe cuts in December and early January, but increased production plans for the remaining March quarter. Bank of America believes iPhone production and demand will remain lackluster in the near future.
Despite these problems the firm rates Apple stock as attractive given increased Macintosh production and growing acceptance of Macintosh desktops and notebooks. Bank of America also believes Apple's stock will eventually reach $180.
