Needham Co. analyst Charlie Wolf this morning upgraded Research in Motion from an underperform to a hold rating because the company’s current share price fully reflects any slowdown in the growth of BlackBerry’s sales, the analyst explained.
Wolf downgraded RIM to underperform on July 16 to take into account potential impact of the iPhone on BlackBerry sales in the consumer market.
Needham & Co. analyst Charles Wolf thinks Research In Motion is deluded in its guidance, slamming the firm with an under-perform rating on strength of increased competition from the iPhone and other manufacturers.
Wolf despatched the following message to clients today: “RIM reported second quarter results in line with guidance. The major disappointment was guidance going forward – the prospect of lower gross margins extending through 2010. We believe the company is fooling itself in ignoring the increasingly hostile competitive environment. We’re maintaining our under perform rating and reducing 2009 and 2010 earnings estimates. ”