Before Research in Motion (RIMM) reported quarterly earnings, the majority of investors were bearish on the company. The bears expected RIM to report a decline in subscribers and a decline in revenues. Bearishness was high enough to push short float to 20%. Shares failed to break a trading-range between around $6.50 and $8, which began in July when RIM closed at $7.50.
When the facts change, I change my mind. What do you do? – J.M. Keynes
RIM shares are on a tear. Shares are up nearly 50% since reaching a low set August 9. Even after ignoring the August 9 - August 11 market sell-off, shares are up 35.6% from the start of the month. Will shares rise further? The company was last assessed as bottoming due to BlackBerry 7 and takeover speculation.
A former employee of Research in Motion Ltd. has been prohibited from becoming an officer or director for five years after a panel of the Ontario Securities Commission found that he acted “contrary to the public interest” when he purchased shares in a publicly traded technology company RIM was considering buying.
The OSC panel made its finding against Paul Donald in August despite concluding that he did not breach insider trading rules when he bought shares in Certicom Corp. in 2008. He had learned about the potential interest in Certicom at a RIM golfing event.
BlackBerry Messenger, the nifty and efficient personal-messaging service that’s become so important to bracing Research In Motion Ltd.’s fatigued appeal in these trying times, may just owe its existence to a local telecom outfit.
“There was a point there where RIM said they were thinking about getting out of BBM,” John Boynton, chief marketing officer at Rogers Communications Inc., recalls. “We said, ‘No, no! We think it’s great.’ ”
Cameron Kaine submits:
Shares of Research In Motion (RIMM) has been "on medical leave" for quite some time; and this was long before the company's COO, Don Morrison, one of RIM's three chief operating officers, was announced t