RIMM Research in Motion recommendation
Buying RIMM now on the dips. Think this phoenix just might rise from the ashes. Lots of value here I think if BB10 has any success. Will be launching in Q1 2013. Trading well below book value ( around 11 bucks) right now at 8 bucks. Upside is 16-30 dollars over the next 12-18 months). A lot depends on how the market reacts to BB10 launch.
The product is getting good reviews from developers which should help address the app shortage which is the biggest bash against them. Carriers are welcoming it as well as they would like some competition (a third player to iPhone and Android). Expectations from analysts are still at their lowest but are turning now (at least three upgrades recently) so the share price is still at a decent entry point. Chart seems to have based and has started climbing.
Sales outside of western world are doing well and increasing. BB10 will bring a competitve product to the high end western world markets. The user experience will be sufficiently unique to differentiate it from other platforms. BB10 will retain their security, BBM and private network advantages. For those that like the proprietary keyboard design, that will also be a selling feature. Platform is positione well for the coming changes in the Machine-to-machine computing world.
I don't make many recommendations but I thought I would share this one.
JFF7
It's better to be out wishing you were in than in wishing you were out.
"Markets can remain irrational longer than you can remain solvent". - John Maynard Keynes
