Uh oh, HTC is tumbling down - its share price hits a ten-year low


Uh Oh. No, we are not going to talk about the eponymous device protection plan that HTC launched two months ago; it just so happens that "uh oh" perfectly characterizes the current financial situation of the troubled smartphone manufacturer. 

Uh Oh, indeed. Just a few days ago it became clear that HTC is once again bleeding all over and is about to post a totally disappointing financial report for the second quarter of the year. Unlike the one for Q1 2015, which was fairly profitable, the second quarter reported truly showed that the hole in HTC's boat is bigger than ever. 

As a result of all these, HTC's shares have plummeted to their lowest levels for the last decade. After last month's anti-record, each of the company's 17.30 million shares currently sells at NT$68.50, roughly $2.21, which is almost on par with its market performance in March 2004. Provided that the current downward trend keeps its plummeting momentum for several days more, we won't be surprised to witness a new anti-record for the distressed manufacturer, which might quite possibly record its lowest share pricing ever.


That being said, the risk of capsizing is real and the culprit to blame is, undoubtedly, the HTC One M9, a device that performs rather poorly on the market. Add this to the slightly stagnant market and you get a recipe for a market disaster, at least for HTC. The flagship-grade devices that it released on a weekly basis just recently and threw at the vast Chinese market are one way to up your profits.

Yet, we will have to wait to see if the effect of this marketing strategy will be overwhelmingly positive or just the contrary. 

Fortunately, the high-ranking management over at HTC's HQ is aware of the problems the company is facing. As a result, a change in the company's product portfolio is expected later this year - the upcoming "hero" phone will certainly be imbued with HTC's hopes of turning the tides, but would this be enough to help it get back on its feet?

Let's see if it pays off for it.


source: ChinaPost via GSMDome

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43 Comments

4. NoFanboy

Posts: 300; Member since: Nov 18, 2013

I wonder if it'll be profitable to buy shares...

29. kkmkk

Posts: 699; Member since: May 06, 2013

No It is not profitable at all especially as it will go out of business after a short time and this is known to all financial analysts and even the company itself can not deny the truth anymore after today

31. jaytai0106

Posts: 1888; Member since: Mar 30, 2011

I'm wondering the same thing. If HTC will restructure itself and trim down some fat in the company. Build itself from the ground up, then their stocks will be very profitable. However, with their business model for the past few years... they might go out of the business before you can turn those stocks around

5. gaming64 unregistered

I don't pity them. It's their own doing. Poor marketing along with stupid phones released the following months contributed to this.

7. Derekjeter

Posts: 1531; Member since: Oct 27, 2011

BB, Microsoft, HTC, own fault for them loosing all this money and falling behind. They think they know what customers want and even when they have something decent they either suck at marketing or in BB and MS the hardware is good but the software sucks.

6. Derekjeter

Posts: 1531; Member since: Oct 27, 2011

Where are all the people who said HTC was going to be ok after the M9?? I remember when it was announced and a lot of people said it was going to compete in sales with Samsung cuz of the design. The outside design is not as good as people think. It's the same phone as the M8 with slightly higher specs, people were buying the M8 mostly for being free on two year contract when the M9 was $199 on same two year contract. Poor HTC it hurts me to see you fail, my favorite phone of all time was the OG Droid Incredible and second best HTC EVO.

8. pixelated

Posts: 108; Member since: May 03, 2015

They are following path of Nokia. HTC is the first company who is going to exit the mobile business being an Android phone-maker!

9. GTNavy

Posts: 55; Member since: Oct 13, 2014

Soon it will be a Samsung/Apple duopoly. Less innovation, less choices. They will tell you what to buy because you will have no other option. Another sad day for mobile.

10. Ordinary

Posts: 2454; Member since: Apr 23, 2015

Yep pretty much, no competition=slow improvement

12. mixedfish

Posts: 1562; Member since: Nov 17, 2013

It's already happening with Samsung removing battery and SD card features. And Apple..no choice day 1.

28. j2001m

Posts: 3061; Member since: Apr 28, 2014

Samsung removed sd card due to the move to ufs, I.e. They can not run on the same controler

16. medtxa

Posts: 1655; Member since: Jun 02, 2014

Not much. Huawei or Xiaomi are bigger competitor than HTC right know. Alot Chinese oem are inovative and make good hardware.

23. CanYouSeeTheLight

Posts: 1122; Member since: Jul 05, 2012

So are you ignoring the company that pushed full metal bodies to smartphones? The fact that the iPhone 6 took a few design cues from the M7 and M8 should be self explanatory.

40. Furbal unregistered

If Chinese manufacturers are every in the US or have proper Euro bands, Samsung is in trouble.

45. keithtae

Posts: 564; Member since: Mar 25, 2015

I hate to say this but the Chinese brands will not be in the western countries. Why? 1. Apple will sue the s**t out of them for copying everything that looks, feels, or even taste like Apple. 2. I have tons of friends who don't even trust China brands, the first thing that came in mind for them are Apple and samsung for phones, the rest are considered as 'cheap' to them. 3. The market is getting mature in a way where most of the people already have their favourite brands, and that happens to be Apple and samsung. They both have the highest consumers repurchsing rate. As long as they both still keep selling devices, China brands will be tough to make it to the westerns. The primary reason for these chinese brands to be so "famous" and able to grab such market share in such timeframe is because of the propaganda passing within China. Direct translate: "buy Apple and samsung is equivalent to a home country traitor." Its all over their weibo if you happen to read Chinese and use wechat/weibo. But reports even show that samsung has the highest percentage of clone phones made in China and causes them to fell into 5th place as the average users bought samsung phones and didn't even notice they are using a fake samsung phone, causing brand damages as well.

38. mrochester

Posts: 1021; Member since: Aug 17, 2014

This is the problem with software like Android; because the OEMs are essentially just dumb box makers, they resort to a race to the bottom, sucking all profits and the ability to innovate and do new things out of the market. Exactly the same thing happened to the PC market, leeaving it stagnant and boring. Thank you Google for killing the smartphone market. You will never be forgiven.

11. BoobyBuster

Posts: 62; Member since: Jun 18, 2015

Beauty of Android: No one makes money with it ROFL.

13. Ordinary

Posts: 2454; Member since: Apr 23, 2015

Beauty of Jakelee: Spamware. TOP KEK

14. BoobyBuster

Posts: 62; Member since: Jun 18, 2015

Beauty of (extra)ordinary troll: Fetching likes as always ROFL.

15. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

Yup! People like BoodyBuster create his own likes!

17. mixedfish

Posts: 1562; Member since: Nov 17, 2013

Who needs friends when you have sock puppet accounts.

18. Ordinary

Posts: 2454; Member since: Apr 23, 2015

Your patriot gang got banned and now you are butthurt about it lol

19. BoobyBuster

Posts: 62; Member since: Jun 18, 2015

They were just some fake jealous fandroids accounts created by butthurts like you to make Apple look bad and your lagdroid look good. Too bad lagdroids always gonna lag ROFL. No one makes money with lagdroids.

20. Ordinary

Posts: 2454; Member since: Apr 23, 2015

With your name I sure know you are unique user in here. Check yourself before you wreck yourself.

22. PinheadLarry unregistered

+1 Lol.

26. gaming64 unregistered

Look who's talking.

27. gaming64 unregistered

Look who's talking.

30. j2001m

Posts: 3061; Member since: Apr 28, 2014

Hm, last time I looked the iPhone lags more than the s6 edge, sorry to say and even more when you fill up your 8bit emmc

32. aegislash

Posts: 1518; Member since: Jan 27, 2015

From what I can gather, you're more annoying that that Samsung-crazed 'galaxynote4isboss' guy I've seen commenting on other sites, and that is quite a hard feat. Congrats.

47. g2a5b0e unregistered

You're referring to Richard Yarrell. That guy is on a serious level of special. The word "overzealous" comes to mind as well.

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