1. Rob1's Avatar
    Research In Motion Upgraded by Goldman Sachs, Seventh Seal Broken - MarketBeat - WSJ

    If you were startled out of a sound sleep at 4:52 a.m. today, here’s what happened: Goldman Sachs created a rift in the space-time continuum by upgrading Research In Motion.

    November 16, 2011, 4:52 a.m., is the time stamp on Goldman’s note (according to Thomson One, anyway), which unleashed a sonic boom of Wha??!! that might very well have changed Research in Motion’s fortunes forever, or at least for this morning.

    Your friendly neighborhood Squid lifted RIM all the way to “neutral” from “avoid like the plague” or whatever it had rated the downtrodden RIM before.

    Goldman bases its upgrade solely on the value of stuff RIM could sell on eBay, rather than its ability to set the world on fire with earnings:

    We are upgrading RIM to Neutral from Sell, as we believe the stock’s discount valuation at a P/E of 3.8X our below-consensus CY12 EPS estimate already fairly captures our fundamental concerns. We are transitioning from P/E to sum-of-the-parts valuation for the stock, which we view as a more meaningful valuation methodology at this stage, given the company’s likely rapidly declining earnings trajectory.

    Our sum-of-the-parts valuation assigns value to three of RIM’s assets: (1) its intellectual property (IP), (2) its Services cash flow stream, and (3) its cash.

    Can you just feel the love? No, me neither.

    Even as it upgrades RIM, Goldman can’t resist doing an end-zone dance over RIM’s twitching body, pointing out:

    Since being added to the Americas Sell list on April 1, 2010, RIMM is down 72.1% and RIMM.TO is down 71.7%, compared to the S&P 500 up 6.8%.

    Rub it in much, Goldman?

    But RIM has clawed its way back from a six-year low of less than $18 just a week ago and is up 3.5% today to $19.72 at last check.

    Good Comment:

    rimm, blackberry, the worlds,first and still one of the most known smart phone manufacturers in the world, alott of bad press, system failure, xyz, leading the stock to be hammered by analysts worldwide,any true investor knows any press coverage is good news as it keeps the name blackberry on everyones lips, where as which other smartphone manufacturer is constantly in the headlines. Now at an affordable level for retail investors with no debts, also with the companies habit of releasing new tech, every 5 years which seems to create a buzz around the company just look back 2000./2001 2006/2007 2011/2012..?? also with buy out speculation,, growing presence in asia beating all smartphone competitors, who can ignore these signs? The same investors that thought everything was great 2007, that didnt heed the signs of history that the whole world was then overvalued an was primed to crash. For sure this company understood this an rained in its spending didnt beg or borrow it has ridden the financial storm and has come out of the other side. Yes it lost market share to apple, android, samsung, but a direct comparison to these companies is not applicable as they are totally different beasts. FACT. We all in business understand that, BLACKBERRY, is the business phone very good for e.mail an txt on the move bbm messenger completely overshadows any of its competitors, for b2b contacts, I.PHONE GREAT FOR THE KIDS TO PLAY GAMES AN LISTEN TO MUSIC BUT THATS ABOUT IT, NO GOOD FOR BUSINESS ON THE MOVE MORE OF A FASHION ACCESSORY THAN SERIOUS BUSINESS SMARTPHONE
    11-16-11 02:00 PM
  2. sam_b77's Avatar
    Complete frickin Wall Street. Sell short, drive a share down even if its against market principles. Then when it is rock bottom, buy buy buy and put out news for the masses and upgrade. Stock price rises and sell. Make a neat profit and bonuses for the unemployable and make a monkey of the great unwashed.
    Seriously these companies and their ability to rate (including Moody's etc) should be wound down. They are the ones who drive America into losses every few decades while making private fortunes.
    These guys know nothing. Goldman at one point knew exactly where the subprime crisis was heading and yet they kept on making huge loans to the subprime property market while betting against the loans in the CDO markets. Goes to show their ethics.

    Posted from my CrackBerry at wapforums.crackberry.com
    Jake2826 likes this.
    11-16-11 03:03 PM
  3. guerllamo7's Avatar
    Goldman Sachs. What does it mean? This is just Goldman speak for "Hey we don't want to have this guys rated as a sell and them go to thirty on earnings".

    The Goldman boys always hedge their bets. Lowering target and upgrading them.

    For most of us, it means nothing new. RIM is not going out of business. Far from it. It should do quite well in the future. I almost feel bad for consumers. They get feed all kinds of junk info and then they wonder why the average consumer gets 4% vs the 9% that mutual funds make.

    I'm not going to make a suggestion about buying RIM shares because I think it is just joining the madness to imply you can invest based on what you read on a blog such as this, but I will say that RIM will be here next year and it will be stronger. The following year it will do it again. No one has come close to matching the security or efficiency of the BlackBerry and RIM is moving into content so the choice should be obvious next year.

    For us consumers it basically means that if you think BB is the device for you, the you will be able to enjoy it for many, many years to come. All the noise is just that. Noise.

    My Bold 9930 is the best phone on the planet for me.
    Simple.
    Last edited by guerllamo7; 11-16-11 at 03:13 PM.
    Jake2826 likes this.
    11-16-11 03:09 PM
  4. lnichols's Avatar
    None of these jackals saw the entire market collapse coming and these clowns I think even got a bailout. I don't believe any of them whether the news shows RIM in a positive or negative light. I have more trust in a Vegas card dealer than any stock analyst.
    Jake2826 likes this.
    11-16-11 03:56 PM
  5. anthogag's Avatar
    They did get a bail-out, a huge one. They're a bunch of doooooosh bags.
    It's too bad we have to pay attention to what they spew.
    11-16-11 04:21 PM
  6. Barljo's Avatar
    I'm starting to think that the film Wall Street was a documentary rather than fiction...

    Blue Horseshoe loves RIMM...
    11-17-11 04:03 AM
  7. Rootbrian's Avatar
    They did get a bail-out, a huge one. They're a bunch of doooooosh bags.
    It's too bad we have to pay attention to what they spew.
    We certainly don't need to clean it up, or do we?

    Posted from my CrackBerry at wapforums.crackberry.com
    11-17-11 05:37 AM
  8. inicophone's Avatar
    Goldman Sachs. What does it mean? This is just Goldman speak for "Hey we don't want to have this guys rated as a sell and them go to thirty on earnings".

    The Goldman boys always hedge their bets. Lowering target and upgrading them.

    I really do admire this confidence however I do worry about RIM. I hope they can survive I can't imagine myself using any other phone. I love my BlackBerry too much!!!

    For most of us, it means nothing new. RIM is not going out of business. Far from it. It should do quite well in the future. I almost feel bad for consumers. They get feed all kinds of junk info and then they wonder why the average consumer gets 4% vs the 9% that mutual funds make.

    I'm not going to make a suggestion about buying RIM shares because I think it is just joining the madness to imply you can invest based on what you read on a blog such as this, but I will say that RIM will be here next year and it will be stronger. The following year it will do it again. No one has come close to matching the security or efficiency of the BlackBerry and RIM is moving into content so the choice should be obvious next year.

    For us consumers it basically means that if you think BB is the device for you, the you will be able to enjoy it for many, many years to come. All the noise is just that. Noise.

    My Bold 9930 is the best phone on the planet for me.
    Simple.
    Posted from my CrackBerry at wapforums.crackberry.com

    Posted from my CrackBerry at wapforums.crackberry.com
    11-17-11 05:38 AM
  9. kevinnugent's Avatar
    They did get a bail-out, a huge one. They're a bunch of doooooosh bags.
    It's too bad we have to pay attention to what they spew.
    From memory, they've also repaid the Federal bail out money.
    11-17-11 06:24 AM
  10. ADGrant's Avatar
    Just to remind everyone. This was a positive development for RIMM.
    Superfly_FR likes this.
    11-17-11 08:20 AM
  11. sam_b77's Avatar
    From memory, they've also repaid the Federal bail out money.
    Well TBH Goldman never needed the Bailout Funds. They had made a killing in the CDO market. They were the ones issuing bad loans and betting against them at the same time.
    Hank Paulson basically leaned on them heavily to take the funds. His rationale behind this was that if one or two banks didn't take the bailout funds, then the ones who did would stand out amongst the industry as the weak and untrustworthy ones. And since all of banking and Wall Street runs on trust/sentiment, it would have been bad for the banks who needed the funds.
    The fact that Goldman returned the money which they didn't need in the first place says absolutely nothing about them besides them being the smartest besides being crooked.
    11-17-11 08:20 AM
  12. MisterMe11's Avatar
    Just to remind everyone. This was a positive development for RIMM.
    Not if they are correct about this: "given the company’s likely rapidly declining earnings trajectory"
    I sure hope they are not, but if BBX phones don't appear until Q3 2012...
    11-17-11 09:05 AM
  13. OMGitworks's Avatar
    Just to remind everyone. This was a positive development for RIMM.
    Not really. They still aren't saying to buy RIMM. They are still decidely negative on RIMM just that the price has gotten so low, its break-up value or sum of the parts justifies the "upgrade."
    11-17-11 09:14 AM
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