BBDoodle: BlackBerry Limbo - How low can RIMM Go?!

How Low Can RIMM Go?
By Kevin Michaluk on 15 Dec 2011 08:08 pm EST
0
loading...
0
loading...
46
loading...

Topics: BBDoodle BBDoodle

Reader comments

BBDoodle: BlackBerry Limbo - How low can RIMM Go?!

30 Comments

First! :)

I know, I know... it's not funny if you own shares of RIMM stock to see the price dip below $14 in after hours trading, but seriously... we're CrackBerry... gotta find the humor even in crappy situations.

RIMPIRE will strike back in 2012.

Another Canadian company that entered the US market pretty much owned the market until the likes of cisco and others came along. Nortel was eventually bought and sold for its many patents. I don't see the similarity tho :) I kid I kid..

below 10$ and than there will be a buyer . . . trust me but we will see $10 before the end of this year :) wait til tomorrow -6% right now . . . wow

RIM is a disaster in the making if they can't get these QNX phones going in the U.S.

I still have a few friends that have BBs but I see some people migrating to Android now. RIM can probably get them back but we need to see a leapfrog in technology with OS10 phones. Can they do it? Don't know.

Maybe its time RIM left the public trading space and focused on making good phones. 90% of this bad press is a shitty stock price, get rid of that and you only have 10% of ur bad news. That 10% tho counts for delays, tech problems, promises unfulfilled etc etc.

never mind wall street manipulation, RIM BV is $19, they have a clean balance sheet with very little soft assets. logic will prevail and the share price will return to its intrinsic value

Sadly, I predict that RIM will not be owners of these infamous BB devices in the future.
Talks of acquisitions likely entertained already behind closed doors.
I hate to be this negative, as I'm a strong supporter of BB devices, but RIM as a company is not delivering.
Other than the PB being released pre-maturely, we can argue that it is better to take the necessary time to release a great product (majority BB devices were up to par at each release) but the competitors are saturating the market and taking the sales; at a pace that RIM cannot make grounds on!

The price is falling because there are people in this world that believe everything their financial analysts tell them.

RIM is still growing sales but their penetration is in markets that cannot absorb the kind of margins we see in the US. So while it still generates huge amounts of cash, and has no debt, margins aren't like they used to be.

RIM is already trading below book value, and if it falls much more I imagine the company will just buy its own shares and possibly go private. Freed of some of the crazier US securities laws RIM could massively reduce costs. Freed of the overhead of all that bureaucracy they might even hit the odd target date.

While the CEO's have completely lost control of the company as a whole, they still represent RIM. Without them the company would lose its identity and any chance of recovering its stock price. Remove the CEO's and I think RIM would be broken up within months and shareholders would lose even more.

No corporation will buy RIM because even if there were a potential buyer (and the only buyer that makes any sense is Apple) no sooner had they expressed an intent to buy the stock price would shoot up to where it probably should be, somewhere between $40 and $50. RIM's price is entirely sentiment based. Logic doesn't come into the equation.

They are not growing anywhere near as fast as the overall smartphone market. Apple iPhone just keeps slightly above that pace. HTC and Samsung are growing huge with Android. If RiM cannot grow with the overall growth in smartphones, or at least stay close to that pace, then they will be less common. Share price is partially based upon a perception of growth, yet even their guidance lower indicates they are expecting even less growth as a company. There is no point in the share price appreciating without growth at the company.

Sad oh so sad. Here in the UK Rim have only one problem, lack of marketing. Love my BB handsets and my PB but only 2/5 local stores have working PB displays. The fruit of first sin market their product effectively most people I know have never heard of PB.......... Advertise Rim, you have the best tablet on the market, tell people.

"Of course i blow my own trumpet...... know one else knows the tune"

So there are about 500million shares outstanding at the current stock price of 14$ that's about 7 billion. As someines comment why doubt they buy them sells and gi private???

The better question is, why don't they double or triple the QNX development team and get the new phones out earlier than expected.

But, I also agree, they should just buy up the rest of the stock and go private. 75 million paying customers and profitable, yet the analyst make it seem like RIM is on its death bed.

The earnings call had nothing positive, nobody has confidence in the CEOs anymore. Not only was the quarter bad, but the lack of guidance is killing them. Mike and Jim need to go, they should of been gone months ago. Sigh.