By Angus Robertson
Once rivals for the battle for supremacy Research in Motion (RIMM)and Nokia (NYSE:NOK) now find themselves in a race to the bottom. We've noted Nokia's continuing slide here, but not to be outdone, RIM has had its share of bad news this week. Tiernan Ray at Barron's catalogs the latest barrage of analyst downgrades.
Among the most damning, Goldman Sachs' Simona Jankowski cut her price target on the stock to $40 from $50, based on "RIM's rapidly deteriorating business metrics," while reiterating a Sell rating.
Even long-time RIM-booster Mike Abramsky of RBC Capital Markets took his price target down a few more notches, to $45 from $55 and reiterated a Sector Perform rating.
Analysts note that Apple's (NASDAQ:AAPL) newly announced messenger service could eat away at RIM's Blackberry Messenger.
Susquehanna Financial Group's Jeffrey Fidacaro advises "pressing the short," based on an expectation there's risk to RIM's fiscal Q2 ending in August, given delays in its forthcoming BlackBerry models based on OS 7. He cut his price target to $31 from $46.
Citigroup analyst Jim Suva cut RIM to Hold from Buy and slashed his price target to $45 from $80 (the stock's below $37 right now), citing RIM's inability to hustle out the new BlackBerry Bold and take advantage of rival Nokia's troubles, the WSJ reports.