Barclays on Research In Motion (RIMM): Complicating An Already Difficult Transition
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Price: $14.64 +12.36%
Rating Summary:
0 Buy, 0 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 11 | New: 14
Rating Summary:
0 Buy, 0 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 11 | New: 14
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Barclays maintains an 'Equalweight' on Research In Motion Ltd. (NASDAQ: RIMM) price target cut from $12 to $10.
Analyst, Jeff Kvaal, puts it plain and simple: RIM is complicating an already difficult transition. The company's lowered ambition (by new CEO) is now strictly focused on saving the remaining customers the company has. Research In Motion will make deep cuts to ASPs and ARPUs to keep its subscribers.
Kvaal sees weak demand in the BB7 and bolstering competition from Nokia (NYSE: NOK) and Android (Nasdaq: GOOG). RIM's plan for the BB10 launch in the fall is anyone's guess at this point, even RIM's, who coincidentally suspended guidance until the launch of the BB10.
In Kvaal's final note, he said, "Lack of visibility into a recovery and RIM's strategic review makes this an event-driven stock for now." (FY13 EPS estimate is chopped from $2.02 to $0.10 and FY14 from $1.93 to $0.75)
For an analyst ratings summary and ratings history on Research In Motion Ltd. click here. For more ratings news on Research In Motion Ltd. click here.
Shares of Research In Motion Ltd. closed at $13.73 yesterday.
Analyst, Jeff Kvaal, puts it plain and simple: RIM is complicating an already difficult transition. The company's lowered ambition (by new CEO) is now strictly focused on saving the remaining customers the company has. Research In Motion will make deep cuts to ASPs and ARPUs to keep its subscribers.
Kvaal sees weak demand in the BB7 and bolstering competition from Nokia (NYSE: NOK) and Android (Nasdaq: GOOG). RIM's plan for the BB10 launch in the fall is anyone's guess at this point, even RIM's, who coincidentally suspended guidance until the launch of the BB10.
In Kvaal's final note, he said, "Lack of visibility into a recovery and RIM's strategic review makes this an event-driven stock for now." (FY13 EPS estimate is chopped from $2.02 to $0.10 and FY14 from $1.93 to $0.75)
For an analyst ratings summary and ratings history on Research In Motion Ltd. click here. For more ratings news on Research In Motion Ltd. click here.
Shares of Research In Motion Ltd. closed at $13.73 yesterday.
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