Nomura Securities maintains a 'Neutral' on Research In Motion (RIMM); Amazon (AMZN) Bid Raises but Also Dashes Hopes

Nomura Securities maintains a 'Neutral' on Research In Motion (NASDAQ: RIMM) price target of $15.00.

Nomura analyst, Stuart Jeffrey, said, "Reuters reported that Amazon (Nasdaq: AMZN) hired an investment bank this summer to approach RIM and discuss a potential merger. Reuters also state that other potential buyers have approached RIM as well, but gave no details on who these other bidders were. The fact that several parties have expressed an interest in discussing a merger or take-over of RIM is encouraging for RIM shareholders. In our view, RIM has a number of attractive parts, including: subscription revenues, patents, other assets and devices. While we believe that RIM shares could be worth $15 in a gradual wind-down scenario, we don’t see financial buyers bidding until the stock falls below $10. We expect to see further pressure on RIM’s share price. The worse things get for RIM, however, the more likely that management may come under pressure to step aside or engage in M&A discussions."

For an analyst ratings summary and ratings history on Research In Motion click here. For more ratings news on Research In Motion click here.

Shares of Research In Motion closed at $12.52 yesterday.

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