analyst outlook for blackberry maker dims
Last Updated : GMT 06:49:16
Arab Today, arab today
Arab Today, arab today
Last Updated : GMT 06:49:16
Arab Today, arab today

Analyst outlook for BlackBerry maker dims

Arab Today, arab today

Arab Today, arab today Analyst outlook for BlackBerry maker dims

New York - Arabstoday

Research in Motion faces a tough year ahead as competition heightens for its products, warned analysts as they slashed price targets on the stock, after the company posted a loss and said BlackBerry shipments fell for the holiday quarter. On Thursday, RIM recorded its first quarterly loss since the fourth quarter of fiscal 2005 and said it would no longer issue financial forecasts. "The lack of outlook, unit growth deceleration and inventory build is a negative for RIM's technology supply chain, specifically Celestica Inc., Flextronics International Ltd. and Jabil Circuit Inc.," Citigroup analysts said in a note dated March 29. RIM makes up 20 percent of sales at Celestica, 15 percent at Jabil, and 10 percent at Flextronics, RBC and Citigroup said. The Waterloo, Ontario-based company's BlackBerry shipments dropped 21 percent sequentially, the first decline in the quarter covering Christmas since 2006. Most analysts consider the expected launch of next-generation BlackBerry smartphones this year as a do-or-die battle for the company, but warn of greater competition. RIM faces increasing competition across all its products -- from Apple Inc.'s iPhone 4S and the new iPad, smartphones using Microsoft's Windows software and cheaper smartphones powered by Google Inc.'s Android, said Canaccord Genuity analysts. Analysts at Canaccord Genuity, Barclays Capital, Nomura, BMO, RBC and Credit Suisse slashed their price targets on the U.S.-listed shares of the company. According to Thomson Reuters StarMine, nine analysts rate the stock "hold," two have a "hold," and two others rate it a "buy" or its equivalent rating. In a "blossoming smartphone market," RIM's volumes over the next one year could drop 25 percent, as the existing BB7 devices are not competitive and as RIM's share in the international markets is rapidly eroding, Credit Suisse said. Improvements in the lower end from Nokia could also hurt RIM's share in the international markets, Credit Suisse said, adding that only the potential for a sale of the company keeps their rating on the stock at a "neutral." On Thursday, RIM's new Chief Executive Thorsten Heins announced the initial steps in a strategic overhaul and would not rule out a sale of the company, but a majority of the analysts are skeptical of the company's turnaround efforts. "Accelerating core business erosion and international pressures narrow RIM's turnaround window. ...  While CEO Heins praises ... RIM continues to misread the market and may have lost too much momentum to recover," RBC Capital Markets said. Analysts at Nomura, in a note titled "Too Little, Too Late," said RIM was unlikely to succeed as a standalone ecosystem, even if it did find some partners. "Management still seems keen to succeed at both the high and low ends of the smartphone market, all while still building a standalone application ecosystem," Nomura analysts said. Shares of RIM closed at C$13.69 on the Toronto Stock Exchange on Friday. RIM's U.S.-listed shares closed at $13.73.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

analyst outlook for blackberry maker dims analyst outlook for blackberry maker dims

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

analyst outlook for blackberry maker dims analyst outlook for blackberry maker dims

 



GMT 23:04 2017 Monday ,04 December

Saudi Arabia recalls ambassador to Germany

GMT 02:47 2014 Monday ,17 November

Qatar Library to take part in Conference

GMT 18:17 2018 Friday ,07 September

US Defence Secretary arrives in Kabul

GMT 03:28 2018 Sunday ,21 January

Emirates throws Airbus A380 a lifeline

GMT 15:20 2017 Wednesday ,20 December

Oman Arab Bank launches advanced automation system

GMT 04:56 2017 Thursday ,22 June

ASEAN journalists conclude silk road media journey

GMT 08:08 2015 Thursday ,05 November

UAE media has matured, delivered remarkable successes

GMT 22:37 2016 Thursday ,17 November

Japan aims to increase food exports to GCC

GMT 08:40 2013 Saturday ,02 February

Saladin

GMT 00:12 2016 Sunday ,01 May

December 21 - January 18

GMT 05:35 2017 Wednesday ,25 October

Rio policeman who killed Spanish tourist charged
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday