UPDATE: Goldman Sachs Upgrades Research In Motion to Buy on Positive Risk/Reward
Goldman Sachs raised its rating on Research In Motion (NASDAQ: RIMM) from Neutral to Buy and increased its price target from $9 to $16.
Goldman Sachs said, "We are upgrading Research in Motion (RIMM) to Buy from Neutral, as we see a positive risk/reward heading into its BlackBerry 10 (BB10) launch on January 30. For the first time in 3 years, we think out-year Street estimates are too low, as they don't capture: (1) the ASP lift from BB10; (2) the associated margin improvement; and (3) the channel inventory fill for BB10. We now assess a 30% chance of success for BB10 given positive early reviews, broad-based carrier support, attractive features, and interest by carriers and consumers in broadening the field beyond Android/iOS."
Research In Motion closed at $11.10 on Wednesday.
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Tags: Goldman Sachs