Fitbit Inc. and China-based Xiaomi Inc. led the pack in terms of wearables shipments for the latest quarter, according to research firm IDC, knocking Apple Inc. down to third place from second. Both Fitbit and Xiaomi shipped 3.6 million devices in the quarter, IDC said, while overall shipments rose 7.3%, to 26.3 million units. Fitbit released its first full-fledged smartwatch, the Ionic, earlier this fall, and hopes the device will reinvigorate its fortunes as consumers gravitate away from simple fitness tracking bands. Fitbit’s shares have lost two thirds of their value since the company’s 2015 IPO, and its shipments for the third quarter declined 33% relative to a year earlier, according to IDC. The firm wrote that Apple’s shipments of 2.7 million devices reflect the fact that the company launched its new cellular-enabled Apple Watch 3 late in the quarter. “The introduction of a cellular-connected version should spur interest from would-be purchasers going forward,” IDC said in a release. Fitbit shares have fallen 8% so far this year through Wednesday, while Apple’s stock is up 46%. The S&P 500 has gained 17% and the Dow Jones Industrial Average has climbed 21%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
From:: Stock Market News