“More happy talk Research in Motion, this time from Citigroup analysts, who have a note out today entitled, ‘It’s Worse Than You Think, RIMM is Going to Miss Christmas & More; Reiterate Sell,'” Matt Phillips reports for The Wall Street Journal.
We do not believe RIMM is an acquisition target or the company is looking to break itself up for sale… We are lowering our target price from $20 to $15 and reiterate our Sell rating. Target price is based on revised earnings and a 50% discount to the current S&P500 P/E; this is lower than our previous 40% discount, but justified in our view given deteriorating fundamentals. Lower units are key driver of reduced EPS.
Read more in the full article here.
[Thanks to MacDailyNews Reader “GetMeOnTop” for the heads up.]