Shares of Research in Motion Ltd. rose Monday amid a broader market upturn as early ... Smartphone News forum
Research in Motion shares rise on BlackBerry sales
Shares of Research in Motion Ltd. rose Monday amid a broader market upturn as early indications from analysts showed strong sales for the company's new BlackBerry Storm, a hand-held designed to compete with Apple's iPhone.
JPMorgan analyst Paul Coster, who rates Research in Motion shares "Overweight," said in a note to clients that the Storm has been greeted by "unambiguously strong consumer demand that has outstripped supply."
Launched through Verizon on Friday in time for the holiday season, the Storm is priced at $199 and features a sleek touch-screen rather than the traditional keyboard of most BlackBerries.
Coster noted that MySpace, the social networking site, reported Friday that its software for the new BlackBerry had been downloaded more than 400,000 times in the first week out. He took the numbers as a positive sign that younger customers are interested in using the Storm for social networking, a departure from the BlackBerry's corporate niche.
RBC Capital Markets Mike Abramsky estimated between 100,000 and 120,000 Storm units were sold over the weekend.
"Checks at Verizon retail outlets affirm stores quickly sold out of the BlackBerry Storm after opening Friday morning, given sizable lineups and pent-up demand," Abramsky told investors in a note.
The apparent demand and limited inventory may cause some blowback, however. Both analysts noted that for customers who have to order the Storm, Verizon will only guarantee an early December shipment.
"The limited availability appears to have frustrated some buyers," Abramsky said, warning that the company risks losing out on some sales in the crucial Thanksgiving week.
Research in Motion shares rose $2.65, or 5.9 percent, to $47.45.
That is real good increase in RIM shares, considering that tumble they got at the end of the summer because of the Bold delay.
I think I should buy some...lol
Nice article cherri....
..........SHAKE N BAKE..........
Yes, indeed it sounds like a winner, just hope that early December shipments don't get pushed back. Thanks Cherri...
Oops, they fell again today big time. I can't believe their shares have come from over $140 to barely $40 in just 5-6 months. When will it stop???
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