Analyst Says 'Too Soon to Tell' If RIM Can Rebound

BGC Partners' Colin Gillis released a concerning note on Research In Motion

following Thursday evening's Q3 results, saying "buying time is not the same as a turnaround." Gillis pointed out "The majority of the positives in the earnings report (cash up, revenue didn't decline worse than expected, subscribers dropped by just one million) just extend out a downward spiral, and does not indicate a return to a growth and profitability." The analyst believes RIM can "at best" become a niche player. In a worst-case scenario, "its current focus on the higher end market cause it to lose traction in emerging markets." Gillis concluded with, "Put more bluntly, this is still a company in sharp decline, it is too soon to tell if there can be a rebound..." BGC Partners maintains a Sell rating and $7 price target on shares of RIM.