Prem Watsa doubles his shares in RIM this week!!

[Dapper37]

RIM Investor Fairfax Financial Doubles Stake in BlackBerry Maker - Bloomberg

This man see's value where others don't. Just ask wall street insiders, who made 2.7 billion off of their self inflicted housing crash! Prem Watsa!

Incase you missed it.
Prem Watsa on the Board of RIM

[world traveler and former ceo]

smart move ... RIM is poised for a major year! ....

[scalemaster34]

Originally Posted by Dapper37

RIM Investor Fairfax Financial Doubles Stake in BlackBerry Maker - Bloomberg

This man see's value where others don't. Just ask wall street insiders, who made 2.7 billion off of their self inflicted housing crash! Prem Watsa!

Incase you missed it.
Prem Watsa on the Board of RIM

So he see an opportunity to make some cash off the RIM crash, and you think that is great?

But right now RIM is a great buy, almost everyone believes that one way or another the company is "worth" more than the current stock value. And it has the potential to easily double or triple it current price - if you look at where it was a year ago, and believe that it can return to those levels.

[OMGitworks]

Told you he would do it, now he cut his average cost in half and has half a chance to get his $300m back.... Also propped up the stock price this week after I bought in. Glad he has the capital and gumption to do so, Thanks Prem, I knew you'd help us all!

Originally Posted by OMGitworks

Agreed with almost all of that, [snip] My guess his he will buy more shares to support the stock and reduce his average cost to something where he might be able to break even. Luckily for him he has the capital to do so even after the $300M bath he has taken on RIMM. [snip]

[trelawrence]

Originally Posted by OMGitworks

Told you he would do it, now he cut his average cost in half and has half a chance to get his $300m back.... Also propped up the stock price this week after I bought in. Glad he has the capital and gumption to do so, Thanks Prem, I knew you'd help us all!

You did call it...

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[Economist101]

Originally Posted by scalemaster34

So he see an opportunity to make some cash off the RIM crash, and you think that is great?

Desperate times call for desperate measures. If his involvement pushes shares up even a little, then it's probably worth it.

[lnichols]

Should also give him more influence on the Board I would think/hope. RIM needs some outside thinking on both the Board and within the company.

[Sith_Apprentice]

Originally Posted by Economist101

Desperate times call for desperate measures. If his involvement pushes shares up even a little, then it's probably worth it.

Research In Motion Limited (RIMM)

-NasdaqGS

16.78 0.52(3.20%) 10:31AM EST - Nasdaq

[OMGitworks]

Originally Posted by trelawrence

You did call it...

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Even a broken clock is right twice a day....

[1magine]

That was the sole reason for the bump in share %. He was already substantially invested and heavily critical of RIM's market sluggishness (not to be confused with RIMM's stock market sluggishness). If he ever expects to not lose everything he basically had to go as 'all in' as he could to gain voice on the board and in general. One should see this for what it is, an attempt to gain voice/power over an investment that is perceived to be in real trouble. This is a neutral long term action, unless you have great faith in his ability to move the board to some short term MCI (with a big M) to ensure timely product availability and competitivenes; and the (imho insane) belief that in the curent market dynamic, that merely delivering a competitive product in a timely basis, that in-fact undercuts entirely another of your most important products (remember BB10 will not use the current BES infrastructure) will be enough to restore the stock price from the $12-17 range all the way back up to the $70-$120 range. And all without any possible negative news or slips that would drive shares downward. Well, good luck with that.

[trelawrence]

Oh... so it's not just because he, uh, loves RIM? I remember a few folks saying $300 million meant nothing to him because he was -- wait for it -- a billionaire.

LOL.

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[Sith_Apprentice]

Originally Posted by 1magine

That was the sole reason for the bump in share %. He was already substantially invested and heavily critical of RIM's market sluggishness (not to be confused with RIMM's stock market sluggishness). If he ever expects to not lose everything he basically had to go as 'all in' as he could to gain voice on the board and in general. One should see this for what it is, an attempt to gain voice/power over an investment that is perceived to be in real trouble. This is a neutral long term action, unless you have great faith in his ability to move the board to some short term MCI (with a big M) to ensure timely product availability and competitivenes; and the (imho insane) belief that in the curent market dynamic, that merely delivering a competitive product in a timely basis, that in-fact undercuts entirely another of your most important products (remember BB10 will not use the current BES infrastructure) will be enough to restore the stock price from the $12-17 range all the way back up to the $70-$120 range. And all without any possible negative news or slips that would drive shares downward. Well, good luck with that.

That is not entirely accurate.

[OMGitworks]

Originally Posted by trelawrence

Oh... so it's not just because he, uh, loves RIM? I remember a few folks saying $300 million meant nothing to him because he was -- wait for it -- a billionaire.

LOL.

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I too sort of chuckled at that line of thinking. He thought that and probably loved RIMM when he bought at $50 and not so much at $40, less so at $30 and I suspect he hates RIMM at $15 or $20.

Originally Posted by OMGitworks

No doubt he is very smart, much smarter than I am and that he is right much more than he is wrong, but don't think his involvement is forward looking and that he likes RIMM and thinks its future is great. In fact, I bet he hates RIMM, he has lost $300M on this investment, he is trying to salvage it.

Me, I love RIMM at $17 as my June $15 calls will have about doubled if we can get there. I will sell half and play with the houses money if it does.

[1magine]

Sith - please explain. The Playbook can not utilize BES. Word from RIM is that e-mail and other functionality will work similar to the Playbook - VPN through Exchange. Has something unannounced changed?

[Hush9300]

Originally Posted by 1magine

Sith - please explain. The Playbook can not utilize BES. Word from RIM is that e-mail and other functionality will work similar to the Playbook - VPN through Exchange. Has something unannounced changed?

I think that Exchange has been incorporated in the NOC and is just a means of delivering a more complete experience to the end users. RIM would be completely insane to abandon there service revenue and I expect the handsets to run on BES/BIS. We will get a clearer picture once the PlayBook 3G is released.