Thursday, June 24, 2010

RIMM Reports


Add to Technorati Favorites Subscribe in a reader

BlackBerry maker Research In Motion Ltd. (RIMM) on Thursday posted a 20% increase in first-quarter profit, but sales and handset shipments fell below Wall Street's forecast. READ MORE>> updated news

The smartphone sector has become even more competitive with Apple & Android based phones. RIM continues to maintain a 70% share of the IT market, but many believe that Apple & Android phones are taking market share. However, RIM  plans on introducing new products incorporating touch screen and a new OS.  Itz believes that the smartphone market has room for competition and of the top companies, RIMM presents the best valuation.
Lets just do a side by side comparison of Apple to Research in Motion:

                          RIMM:                                AAPL:
EPS                     $3.96                                     $11.80
P/E                      15.06                                      22.96
Forward P/E        10.79                                      19.70
5 year EPS
Growth                18.98%                                   17.8%
Profit Margin          17.1%                                   19.2%
Cash Flow Margin 19.8%                                   20.98%
Price/Cash Flow     15.41                                    27.40
Price/Sales              3.05                                      5.75


No comments: