According to Canaccord Genuity:
SLOWING Z10 SALES TRENDS; SOLID INITIAL Q10 DEMAND BUT SUPPLY LIMITED
Investment recommendation: Our global surveys indicate mixed BlackBerry sell-through trends, with weakening sales of the Z10 over the past month but strong initial demand for the limited supply Q10. Given the weaker Z10 sales levels combined with more limited initial supply of the Q10 than our expectations, we are lowering our BB10 sellin estimates for the May quarter from 3.3M to 2.8M units. While we anticipate stronger near-term results for BlackBerry as higher margin BB10 smartphones sell into the channel, we do not believe BlackBerry can achieve sell-through market share levels to return to sustained profit levels. Therefore, we reiterate our SELL rating and $9 price target.
- Given our store surveys indicated slowing Z10 sales at Verizon, AT&T, and T-Mobile combined with lower supply levels of the Q10 with a physical keyboard than our expectations, we have reduced our May quarter BB10 smartphone shipment estimates from 3.3M units to 2.8M units. Please see today’s report titled “Q1/13 handset market summary & April survey; Samsung poised for strong 1H/13 share gains” for more details.
- With new BB10 smartphones facing increased high-end competition from the Samsung Galaxy S4 and the HTC One, we anticipate Z10 sales could further weaken in the consumer retail channels. However, we anticipate a strong ramp in Q10 sales over the next several months could more than offset the slower Z10 sales.
- While we have lowered our BB10 estimates, we modestly lower our 2013 LPS estimates given our belief BlackBerry may temper nearterm marketing plans until supply levels of the Q10 improve.
- Given our lower BB10 estimates primarily from our lowered Z10 sales assumptions, we reduce our F2014 LPS estimate from ($0.37) to ($0.44). Our F2015 LPS estimate of ($0.75) remains unchanged.
Valuation: Our $9 price target is based on a sum-of-parts analysis.
Did they really write that? Who listens to Canaccord Genuity anymore. It's a rogue company. Its short position in BBRY will be the final straw. It's been fined previously for fraud. That's the truth. Google it. This fraud won't work.
"Given our store surveys indicated slowing Z10 sales at Verizon, AT&T, and T-Mobile combined with lower supply levels of the Q10 with a physical keyboard than our expectations"
That is an amazingly stupid sentence.
If they've been looking for Q10's at Verizon, AT&T or T-Mobile stores in the US (which is what that suggests) then there is NO supply of Q10 as it hasn't launched yet.
if not - where are they alleging the low supply levels seem to exist - in the 2 launch markets of UK and Canada?
Again - big zero. If you want one (and hundreds of thousands of customers seem to) you can have one.
Maybe Cannacord could try some channel checks in the UK and Canada instead of just making stuff up?
I could see Thorsten sending this one to the SEC to join the Detwiler pile.........
this co is terrible look at their wbmd one on may6 2011 wbmd to 70 it recently hit a low of 11 or so before going back up to 24 the last few weeks,of the stockprice at the time was 55,horrible with rfmd also.
here's another one where you really have to question the spin and motivation. so contrary to current news & momentum. not to mention bbry technical edge, fiscal health and strategic direction. canaccord has been consistent in trying to keep bb down; must be heavily into manipulation game. the quote sticks out as so old and stale; they've already blown their credibility with previously erroneous info & opinions. dumb & dumber; not buyin the schtick. canaccord can give it up until they have something logical and meaningful to say.