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You know what you need? A GPS-enabled cell phone. Certainly, Apple (NASDAQ:AAPL) thinks you need one; the new iPhone 3G will come with an embedded global positioning functionality. And it isn’t just Apple: the Research In Motion (RIMM) Blackberry Bold also has GPS built in.

UBS chip analyst Uche Orji this morning asserted that GPS traction in high-end handsets “is improving,” with additional multimedia phones with GPS functionality likely to emerge. He thinks that’s good news for SiRF Technology (SIRF), maker of GPS chips. Orji maintains his Neutral rating on the stock, but today upped his price target to $6.25 from $5.50.

Orji sees no near-term company specific catalysts for the company, but at the same time asserts that the company is a potential acquisition target.

Source: Demand for GPS-Enabled Cellphones Good for SiRF - UBS