Research in Motion Limited (NASDAQ: RIMM) Downgraded by Jefferies to Underperform
Friday, April 29, 2022 4:00 PM

Jefferies downgraded Research in Motion Limited (NASDAQ: RIMM) two notches to Underperform from Buy citing the company's lowered May quarter guidance and channel checks that indicate execution issues and product delays will continue. The firm dropped its target for shares to $35 from $80. 

Revenue for the fourth quarter of fiscal 2011, which ended February 26,  was $5.6 billion, up 1 percent from $5.5 billion in the previous quarter and up 36 percent from $4.1 billion in the same quarter of last year. RIM, the maker of BlackBerry phones, lowered its profit forecast for the current quarter by 11 percent on Thursday, sending its stock down more than 10 percent. The company now expects fully diluted earnings per share for fiscal 2011 Q1 to be in the range of $1.30-$1.37, lower than the range of $1.47-$1.55 previously forecasted by RIM on March 24.

Shares were last traded at $56.59, up 1.84 percent Thursday. RIMM has a 52-week low of $42.53 and a 52-week high of $73.37. The company has the total market cap of $28.14 billion. The price to earnings ratio of the company is 8.45, and the PEG ratio is 0.49.

Research In Motion Limited (RIM) designs, manufactures, and markets wireless products for the worldwide mobile communications market. The company, through the development of integrated hardware, software, and services, provides platforms and solutions for access to time-sensitive information, including e-mail, phone, short messaging service, and internet and intranet-based applications and browsing. Research In Motion Limited was founded in 1984 and is headquartered in Waterloo, Canada.