RIM stock sinks, despite a profit jump of 20% - Macleans.ca
 

RIM stock sinks, despite a profit jump of 20%

Sales and handset shipments were smaller than Wall Street’s forecast


 

RIM’s stock dropped 5% in early trading this morning despite having announced a 20% increase in profit after the May quarter ended. The stock dropped after investors reacted to lower-than-expected sales and handset shipments. The latest results are suspected to be a result of new handheld companies eating into RIM’s smartphone market. The tough competition from Apple’s new iPhone and Google Andriod software has led to an almost 30% decline of RIM’s stock in the past three months. However, RIM does intend to fight back (it will announce new software and handsets late this summer) and forecasts continuing growth.

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RIM stock sinks, despite a profit jump of 20%

  1. So RIM didn't meet wall street projections? Big deal. Wall street didn't predict the last couple of market crashes correctly either.

  2. Rim has the same problem as Nokia. Quite simply, they got too comfortable being the original smartphone and have been way too short on innovation. They're perfect if you run on an exchange environment but if you use anything else it's absolute garbage. And they have not been catching up.

    Sorry to say they'll still be around but they won't be the jewel of the Canadian tech industry in a few years.