Monday, September 12, 2016 2:53:04 AM
[Goodness me. Poor old Samsung, eh!!?? Maybe this technology is not the best way to go. Maybe too many people are looking for an easy, far too sexy, option for everything. Maybe we should all just stay with our credit cards and concentrate on making them better and safer. Then the likes of Samsung Pay will not be in the news. I know that is what Smartmetric says it is trying to do. As an aside, I am very glad I sold my SMSN shares recently.]
Unprecendented
Samsung Electronics shares slide as Note 7 recall takes toll
Samsung Electronics Co Ltd's shares fell to their lowest level in nearly two months on Monday after the tech giant told customers to switch off and return their new Galaxy Note 7 smartphones due to fire-prone batteries.
Investors had wiped 15.9 trillion won ($18.9 billion) off the South Korean firm's market capitalisation as of 0303 GMT, as a series of warnings from regulators and airlines around the world raised fears for the future of the flagship device.
"Some said initially the Galaxy Note 7 could be the best smartphone ever, but now it's possible the phone will go down as the worst ever," IBK Securities analyst Lee Seung-woo said, predicting weak sales in the fourth quarter.
Samsung Electronics' common shares were down 6.3 per cent to 1,476,000 won each after touching their lowest level since July 12, and were on track for their biggest daily percentage drop in more than four years.
Analysts said the recall could torpedo Galaxy Note 7 sales and have a lasting impact on the $US211 billion company's brand image, which could derail a recovery in its smartphone market share against rivals like Apple Inc.
The global smartphone leader on Saturday urged all customers to turn off their Note 7s and return them as soon as possible as part of the recall which it voluntarily initiated on September 2.
Unprecedented
The recall is unprecedented for Samsung, which prides itself on its manufacturing prowess. Some analysts estimate the firm might lose 5 billion won worth of revenue after accounting for recall costs. The company had said it had sold 2.5 million Galaxy Note 7s that need to be replaced.
Nomura said it had cut its forecast for Samsung's third-quarter mobile operating profit by 900 billion won to 3.1 trillion won in the wake of the Note 7 recall.
"Even if Samsung puts Note 7s with new batteries in the market it won't sell as well as it had initially," HMC Investment analyst Greg Roh said.
"Long-term, it will cost Samsung significant marketing spending to ensure the next products can overcome this issue."
The Note 7 problems are a major blow to Samsung's efforts to build on the strong sales of its Galaxy S7 smartphones launched in March.
The firm was beginning to claw back smartphone market share and had tried to pre-empt Apple by launching the almost $US900 Note 7 on August 19, about a month ahead of the latest iPhone release.
The recall forced Samsung to halt sales indefinitely in markets such as the United States and push back launches in other regions such as Europe.
Recent SMME News
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 06/10/2024 09:22:17 PM
- Form NT 10-Q - Notification of inability to timely file Form 10-Q or 10-QSB • Edgar (US Regulatory) • 05/15/2024 01:54:15 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 02/21/2024 06:41:03 PM
- Credit Card to Prevent Fraudelent Activities • AllPennyStocks.com • 12/21/2023 08:00:00 PM
- Credit Card to Prevent Fraudulent Activities • AllPennyStocks.com • 12/21/2023 08:00:00 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 11/20/2023 08:30:16 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 11/07/2023 11:00:48 AM
- Form 253G1 - • Edgar (US Regulatory) • 11/06/2023 04:10:16 PM
- Form QUALIF - Notice of Qualification [Regulation A] • Edgar (US Regulatory) • 11/06/2023 05:15:06 AM
- Form 1-A POS - • Edgar (US Regulatory) • 10/20/2023 07:26:28 PM
- Form 10-K/A - Annual report [Section 13 and 15(d), not S-K Item 405]: [Amend] • Edgar (US Regulatory) • 10/19/2023 08:20:09 PM
- Form 10-K/A - Annual report [Section 13 and 15(d), not S-K Item 405]: [Amend] • Edgar (US Regulatory) • 10/18/2023 09:26:13 PM
- Form DEF 14C - Other definitive information statements • Edgar (US Regulatory) • 10/16/2023 10:00:11 AM
- Form 10-K - Annual report [Section 13 and 15(d), not S-K Item 405] • Edgar (US Regulatory) • 10/13/2023 08:58:03 PM
- Form NT 10-K - Notification of inability to timely file Form 10-K 405, 10-K, 10-KSB 405, 10-KSB, 10-KT, or 10-KT405 • Edgar (US Regulatory) • 09/27/2023 07:27:47 PM
- Form PRE 14C - Other preliminary information statements • Edgar (US Regulatory) • 09/26/2023 11:39:30 AM
Glidelogic Corp. Becomes TikTok Shop Partner, Opening a New Chapter in E-commerce Services • GDLG • Jul 5, 2024 7:09 AM
Freedom Holdings Corporate Update; Announces Management Has Signed Letter of Intent • FHLD • Jul 3, 2024 9:00 AM
EWRC's 21 Moves Gaming Studios Moves to SONY Pictures Studios and Green Lights Development of a Third Upcoming Game • EWRC • Jul 2, 2024 8:00 AM
BNCM and DELEX Healthcare Group Announce Strategic Merger to Drive Expansion and Growth • BNCM • Jul 2, 2024 7:19 AM
NUBURU Announces Upcoming TV Interview Featuring CEO Brian Knaley on Fox Business, Bloomberg TV, and Newsmax TV as Sponsored Programming • BURU • Jul 1, 2024 1:57 PM
Mass Megawatts Announces $220,500 Debt Cancellation Agreement to Improve Financing and Sales of a New Product to be Announced on July 11 • MMMW • Jun 28, 2024 7:30 AM