Shares in Research In Motion Limited (USA)(NASDAQ:RIMM) rallied more than 15 percent on Thursday as enthusiasm gained over the launch of its new operating system BB10, slated for early next month. The shares of the company are up 17% in pre-market session on the NASDAQ
Will RIMM continue To Move Higher? Find Out Here
The Canadian handset maker is placing its bets on the new platform to re-energise its fortunes.
Analysts and research firms have recently upgraded the stock and raised its price target. Kris Thompson raised the price target on RIM to $15 from $12 and expects more money to be made in the stock in the run up to the launch of new devices from the company in early 2013. He has an Outperform rating on the stock.
Commenting on the price target Thompson said, "The new management team is executing by maintaining the BlackBerry subscriber base, managing costs and cash, and seemingly readying a February 2013 BB10 global platform launch."
Blackberry, once a favourite with the corporate sector for its smartphones, lost out due to a perceived stodginess in image and lack of applications compared with rivals such as Apple and Samsung.
It has struggled to compete with the iPhone and Samsung’s Galaxy range of phones. On Tuesday, Jefferies & Co analyst Peter Misek, who has been one of RIM's most influential critics, raised his rating and price target on the stock.
On the Toronto stock exchange shares of RIM rose to their highest level since May rising C$1.55 to C$11.78 by early afternoon. The U.S. markets were closed for Thanksgiving.
The new operating system from RIM has already received a favourable response from network carriers. The stock has risen more than 75 percent in the past two months as the date of the launch of the BB10 nears.