Fortune reports on a research note from Morgan Stanley analyst Katy Huberty where she writes that iPad suppliers are anticipating a production number in the 8-10 million range, suggesting a demand much stronger than initially expected. Huberty’s previous estimate for IPad sales fell in the 5 million range.
Fortune highlights some of Huberty’s other findings:
- iPad suppliers now forecast shipments of 8-10 million iPads in calendar 2010, up from their previous estimate of 5+ million.
- Suppliers now expect to ship 2.5 million in the first three months alone (March to May), considerably ahead of Huberty’s estimate of 750,000 by the end of June.
- Shipments are not sales, however, and Huberty is sticking with her sales estimate of 6+ million iPads in 2010. The Street’s consensus, she says, is closer to 3-4 million.
- Each incremental one million iPads shipped, by her calculation, equates to earnings increases of roughly $0.25 EPS.