Research In Motion May Reduce Sales Forecasts, Analysts Say
By Sean B. Pasternak
Waterloo, Ontario, April 5 (Bloomberg) -- Research In Motion Ltd., maker of the Blackberry e-mail pager popular with lawyers and brokers, probably will lower sales forecasts, analysts said.
A revised outlook could come as soon as next week, when the company reports financial results for the year ended February, said three analysts polled by Bloomberg News. Research In Motion is expected to have sales of $359.5 million in the current fiscal year, according to the mean of analysts polled by IBES International Inc.
``It's too soon to say by how much, but it would be sensible to assume they will nudge down (guidance) somewhat,'' said Paul Coster, an analyst at JP Morgan Securities in New York. He rates the stock a ``long-term buy.''
Research In Motion officials declined to comment.
The analysts said Research In Motion customers, such as brokerages and law firms, are spending less on pagers and other communications devices as the economy slows. Waterloo, Ontario- based Research In Motion's BlackBerry lets people send and receive e-mail on a small, portable device.
The company is being challenged by Palm Inc., the No. 1 maker of handheld organizers. Palm Chief Executive Carl Yankowski has said the Santa Clara, California-based company will introduce a device to compete with BlackBerry.
Research In Motion shares rose C$4.10 ($2.60), or 14 percent, to C$33.60 in midafternoon Toronto trading. The stock has fallen 72 percent this year |
