Samsung Galaxy S4 sales predictions have been slashed just weeks after the Korean company suffered a considerable drop in share prices, with analysts suggesting they expected too much of the flagship phone.
Despite Samsung Galaxy S4 sales topping the 10 million handset milestone within just 28 days of launch, analysts have started cutting their S4 performance predictions by up to a third, with many suggesting they were overzealous in their estimations.
“I’d say most forecasters including myself had this conviction that they’ll outperform again – because it’s Samsung,” Byun Hanjoon, an analyst at KB Investment & Securities said. Speaking with FirstPost he added: “They had beaten expectations before, which led many to believe they are bound to excel again with the S4.”
With 17 of 43 analyst firms having reportedly lowered their S4 sales estimates in the past month, high-profile names such as Morgan Stanley and Goldman Sachs have all readdressed their positions on the HTC One and iPhone 5 rival.
Although lowering sales expectations, many analysts have predicted the Samsung Galaxy S4 will still help the South Korean manufacturer to record quarterly profits. Expected to remain the must-have device on the smartphone scene for some time, a number of the industry experts have lowered their monthly sales estimates from 10 million to 7 million handsets.
Suggesting that “banks are correcting their previously bullish estimates about the S4 sales,” Samsung CEO J.K. Shin last week shook off concerns around falling stock prices to reassure investors: “Sales of the Galaxy S4 smartphone are fine.” He added: “It’s been selling well.”
With the manufacturer having faced its biggest overnight drop in share prices for nine months following the first realignment of S4 sales predictions, the blip in Samsung’s stocks were reported to have taken a staggering $12.4 billion (£7.9bn) off the company’s valuation.
Packing a 5-inch, 1080p Full HD display alongside a 1.9GHz quad-core processor and a 13-megapixel rear-mounted camera, the Samsung Galaxy S4 is arguably the most impressive handset on the market right now. A direct follow-on to the Samsung Galaxy S3, the S4 has seen the manufacturer further close the gap on the formerly dominant Apple.
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