Thursday, December 6, 2012

Research In Motion Limited (NASDAQ:RIMM: Analysts get jittery The Stock

Analysts and investors have started to get jittery over the rise in the shares of Research In Motion Limited (USA)(NASDAQ:RIMM) and feel that it may be time to exit from the stock.

Shares in the Canadian handset maker have been rising due to the positive buzz that has been generated around its new operating platform Blackberry 10, but analysts fear that waiting too long would dispel the `feel-good' sentiment and that it would be better to take their profits now.

The new BB10 operating system will see the light of day in January next year. Meanwhile the stock has already doubled from the $6 lows that it has seen. Investors are clearly wondering - where to now?

On Monday, Mike Walkley, analyst with Canaccord, cut his rating on the stock to Sell from Hold, asserting that the recent run in the shares were without merit and the stock lacked support.

Wall Street is just sceptical about the run that the stock had seen and while the street feels that RM has got a good thing in BB10, whether that it enough for a further rally.

The main argument against RIM is that the company is not functioning in an isolated environment. There is too much of competition all around.

Microsoft is aiming to be the third big player after Android and Apple and its recently released Windows Phone 8 seems to have all the makings of a winner.

RIM s banking on the fact that the on-going spat between Apple and Samsung may swing customers towards other operating systems such as Blackberry.

"From that standpoint, RIM has a decent shot at capturing market share; except it won’t be nearly enough to matter, “Motley Fool's Richard Saintvilus said.


  1. Jittery, guess that is why RIMM was up over 3% yesterday. I will kill myself if I have to use an Iphone or Galaxy, and just the people I know everyone who has a Blckberry is waiting for BB10. I always make fun of mature people I meet with Iphones: I ask them which apps they have, the answer is just the ones that the phone came with. As for younger people havn't met anyone with 500,000 apps on their phone. I think 100,000 to start is enough.

  2. The only people that should be jittery are APPL share holders. This february iOS becomes the oldest smartphone OS, it will be painfully obvious when BB10 hits the street, it looks like a dinosaur already...NFC fall 2013, are you kidding me?

  3. You are only kidding yourself if you think BB10 has any chance of getting traction in the smart phone business. Windows Phone, even with all it's advertising and slick interface, hasn't even made a dent in Apple's and Google's market share. RIMM doesn't have chance.... and for all purposes doesn't deserve one. They refused to change with the times 5 years ago and will go the way of the dinosaur.

    1. You gotta be kidding, this is a pretty daft comment with no knowledge backing it up.

      Just last fall the BB user base grew almost double that of Window's phone ENTIRE user base. As of last fall Windows phone had a user base of approx 1,000,000 people only growing to 1.1mil this December.

      At the same time BB's user base grew an extra 2 million users to expand their user base to approx. 80 million people! If only 1/10th of BB's users upgrade to BB10 it'll be a FAR greater success than Windows phone. More likely I'd guess greater than 50% of BB users will upgrade.

  4. I am user of both android and apple systems. Usually I recommend Android to professional peoples and Apple to old peoples or school kids specially girls. I don't use BlackBerry but my business friends they have. For curious business BlackBerry should be the best.

  5. RIM cannot be compared to Windows. Blackberry is an established brand.

    In addition, people are not sure who the target market is for a Windows 8 mobile phone. Can you tell me?

    Only Blackberry has a target market: intelligent professionals, period.

  6. With cloud computing and the big switch design, every smart phone will have access to every app ever invented, Goog is top dog today but will not stay on top because "nothing recedes like success." and the PC is obsolete.


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