southbeach

Research in Motion: Vulnerable to a Takeover Bid?

As predicted, RIMM continues to tank, tracking the market and then some. If I were unfortunate enough to be long RIMM right now, I'd be concerned about the giant bites Apple is taking out of the high end consumer market. The battle gets interesting. Still I've been successfully bearish on both RIMM and Apple since they were 3x and 2x their current price, and the feel bad continues. Given its a Friday, and the markets are looking sea sick, why not switch off that Berry and go for a long (and cheap) lunch with some old friends. When RIMM hits high 30s and Apple low 80s, I'd take a bite (and pardon the pun), but not too large a % position in either - its a long dark road until the bounce.

Research in Motion: Vulnerable to a Takeover Bid?

Crazy times - from a few months ago with Cannacord and others looking for $200 a share... a MS bid for RIMM, even if it fails, (aka gets "Yanged") could represent a nice % pump for the stock. Unless the Bold does very well, the stock could sink to the low 40s, or even high 30s, this year. News of MS due dili on RIM could add 50% to the stock in a week. Not sure I'd buy any OOM calls right now, but the more RIMM falls, the greater the chance of a take out bid. What was that old Chinese curse - may you live in interesting times.