Sorry to hear that. Don't really follow GS, so don't know what has caused the recent run-up. But given RIMM's p/e compared to Nokia and Palm, I just don't see how this stock can continue to rise based on any fundamental criteria. Hand held devices are seeing more competition and what happened last quarter was an isolated instance. Sure they have a good product, but is it that much better than the others and does it warrant this type of valuation? Similar speculation was running rampant with PLAY right before APPL cut their relationship and the stock took a nose dive. Just like PLAY, RIMM needs a more diverse product line to justify all the hype.
anyone want to guess where RIMM trades AH? back to 140+ or back down to 125??? I think RIMM trades lower after its earnings update.
That's why selling the ATM Put Calls is a good play here with OTM buys, actually a 14% move is priced in now. A lot of hot air will come out of them after earnings.
Based on its current valuation, everyone expects this quarter's earnings and forward guidance to be spectacular, so at best you are looking at a non-event if they meet expectations. Only way you would see it sky rocket a-la last quarter would be to have blow out earnings AND a strong forecast for their new Pearl. They may have one up on PALM in the short run because of all the delays related to their Treo product, but any void that PALM's delay has caused in the market for these devices has been replaced by the likes of Samsung and Nokia.
according to sec.gov Tremblant Capital has 500 million in RIMM RESEARCH IN MOTION LTD COM 760975102 354,428 3,452,785 SH Sole None 3,452,785 0 0 RESEARCH IN MOTION LTD COM 760975102 139,768 1,361,600 CALL Sole None 1,361,600 0 0