Apple and BlackBerry Both Beloved of Goldman

Goldman Sachs analyst Brantley Thompson offered a note Friday trumpeting the widening appeal among consumers of the BlackBerry email device, already beloved of corporate road warriors, and he says that bodes well for BlackBerry’s maker, Research In Motion (RIMM).

But Goldman also sneakily released a note from his colleague David Bailey, who says, gosh, that RIMM’s new competitor in the smartphone business, Apple (AAPL), remains a Goldman “conviction buy” thanks to the impending monumental success of its forthcoming iPhone (It’s nice some people still buy with conviction).

RIMM is “at an inflection point” says Thompson, with a brand survey of 9,000 consumers in the U.S., U.K., China and India, showing 11% of respondents plan to buy a BlackBerry device though only .3% actually own one today (Sounds like people who plan to go to confession but never do).

Moreover, RIMM’s brand name now evokes substantial “emotional” differentiation versus brands of competitors, says Thompson. People are really getting worked up over this stuff. With more and more models coming out, carriers willing to subsidize a greater portion of the cost of the device, and a strong following still in the corporate world, RIMM may be set for a 32% rise to $185, says Thompson.

But hold on, because Bailey’s just as “emotional” about Apple. The iPhone looks so terrific, says Bailey, so much better even than the hype that preceded its unveiling in January, that even if it eats into 25% to 50% of Apple’s iPod sales, it will add 6 to 7 percentage points of growth to Apple’s sales between this year and next. And that means Apple stock is going to $102, says Thompson, as “the combination of strong near-term results as well as investors unlikely to exit the stock in the face of Apple’s latest innovations is apt to keep estimates and the stock moving higher.”

Well, it’s nice to know you can eat your blackberries and have apple pie, too.

Friday, Apple shares were off half a percent at $89.07, while RIMM was down a quarter percent at $140.

Previously:
Why Apple’s iPhone Will Be a Disappointment, Feb. 22, 2007

RIMM vs. AAPL 1-yr chart