Market Overview

Goldman Sachs Suggests Buying Put Spreads on Research In Motion


Goldman Sachs is out with a research note this morning, where it suggests that traders buy put spreads on Research In Motion (NASDAQ: RIMM) ahead of earnings.

Goldman Sachs CommTech analyst Simona Jankowski rates RIMM Sell and sees 26% downside to her 12-month price target of $22. She expects RIM's quarter to fall short of Street expectations. Her F2Q (August) sales/EPS estimates are $4,147 mn/$0.75 vs. the Street's $4,469 mn/$0.87 based on continued downside to device units and ASPs.

She also expects F3Q revenue guidance to be below Street. Her F3Q sales/EPS estimates are at $4,672 mn/$1.38 vs. the Street's $5,277 mn/$1.36, on lower smartphone and tablet assumptions.

The analysts suggest buying the September $29/24 put spread for $1.32.

Research In Motion Limited is a designer, manufacturer and marketer of wireless solutions for the worldwide mobile communications market

Posted-In: Goldman SachsAnalyst Color Options Markets Trading Ideas


Related Articles (RIMM)

View Comments and Join the Discussion!

Latest Ratings

BIIBCantor FitzgeraldDowngrades0.0
WEXSunTrust Robinson HumphreyMaintains215.0
GISCredit SuisseMaintains52.0
OWells FargoMaintains78.0
HASWells FargoMaintains82.0
View the Latest Analytics Ratings
Don't Miss Out!
Join Our Newsletter
Subscribe to:
Trader Essentials
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You
for registering for Benzinga’s newsletters and alerts.
• The Daily Analysts Ratings email will be received daily between 7am and 10am.
• The Market in 5 Minutes email will be received daily between 7am and 8am.
• The Fintech Focus email will be received every Friday between 2pm and 5pm.

DARA BioSciences Selected to Present Positive Results of KRN5500 Phase 2 Study

Morgan Stanley Equal-weight On Brocade Communications Systems