S&P Downgrades Palm on its Competitive Outlook
Standard & Poor's is the latest Wall St firm to put out another pessimistic outlook on Palm's near term financial prospects. S&P analyst Todd Rosenbluth has just changed his rating on Palm from Hold to Sell citing Palm's current competitive situation and the larger economic climate.
Todd stated "We believe PALM is more exposed than peers to any fluctuations in its business or the economy, which has proved problematic given PALM's weak Q2 and Q3 FY 08 (May) results. Even with recent handset model launch, we believe PALM's ability to gain market share in the high-growth smartphone market will be limited by new offerings from competitors."
The research note goes on to say "We (S&P) think new management will provide improvements, we expect a turnaround to take time. We trim our price/sales-based 12-month target price by $0.50 to $5.50."
At the time of publication, Palm's share price was trading at 5.83, down 0.04 (-0.68%) on the day.
(via Tech Trader Daily)
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RE: Correction
RE: Correction
== rating on Palm (PALM) to Sell from Hold..."
- http://blogs.barrons.com/techtraderdaily/2008/05/27/palm-sp-downgrades-to-sell/?mod=yahoobarrons
RE: Correction
Tungsten T -> Palm TX -> TX & Centro (Good combo so far!)
RE: Correction
========
I use the word "possibly" only to be nice.
RE: Correction
Good for Palm
If Palm is really that bad, why the institutional investors keep increasing their position. (http://tinyurl.com/69auyw) Unlike the ANALysts, these people put the real money in the stock market. I believe their internal analysts are better.
RE: Good for Palm
> poor execution of the company in the last two years...
> ...If Palm is really that bad, why the institutional investors keep
> increasing their position...
They didn't:
RE: Good for Palm
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Correction
or maybe
"to Sell from Hold".