Research In Motion Pops Up over 5% (RIMM, NOK, MMI, S)
Research In Motion Limited (USA)(NASDAQ:RIMM) shares continued to rebound and jumped 5.20% to $14.36. Last week, there was report from Bloomberg News that the company was considering the selection of J.P. Morgan as its adviser to evaluate its strategic options. According to the article, unnamed sources close to the company said its first wish is to explore the possibility of licensing the BlackBerry operating system, with its second choice being to seek out a strategic investor. The company’s share price have been struggling over the past one year due to increased competition from Apple Inc. (NASDAQ:AAPL)
Nokia Corporation (ADR)(NYSE:NOK) is the worst stock performer within the industry and recently made a 15-year low of $3.54. The stock has slumped 31% over the past couple of weeks after the company posted net loss of a loss of $1.2 billion , reversing a year ago profit of $444 million a year earlier, while revenue slumped 30% to $9.56 billion from $13.43 billion in 2011.
Net sales of devices slumped 40% to $5.42 billion, with smartphone sales dropping by over 50% to $2.20 billion. Sales of smartphones dropped to 12 million in the first quarter, from 24 million a year earlier, while volume sales of cellphones fell to 83 million from 108 million in 2011. The average selling price of Nokia devices also slid, to €65.90 from €84 a year earlier.
Motorola Mobility Holdings Inc (NYSE:MMI) shares climbed marginally to $38.54. Yesterday, the company reported that it net income slid to $157 million, or 49 cents a share, from $497 million, or $1.44 a share, a year ago quarter. Earnings from continuing operations grew 37% to $232 million, or 50 cents a share, from $169 million, or $1.07 a share, in the year-ago period. On an adjusted basis, the company would have earned 59 cents a share, up from 54 cents a share. Revenue increased by 7% to $1.96 billion. Analysts were projecting the company to report a profit of 55 cents a share on revenue of $1.93 billion.
Sprint Nextel Corporation (NYSE:S) slid 2.26% to $2.38. Yesterday, the company’s first quarter loss below analysts’ estimates driven by strong performance at wireless segment.
The company reported a loss of $863 million, or 29 cents per share, compared to a year ago loss of $439 million, or 15 cents a share. Revenue during the quarter grew 5% to $8.7 billion from $8.3 billion. Analysts were projecting the company to report a loss of 42 cents a share on revenue of $8.71 billion.
The company said that while its Sprint network added 263,000 net subscribers in the quarter it lost 455,000 customers on its Nextel iDen network, which it is shutting down.
Sprint projects 2012 adjusted OIBDA to be at the high end of its previously announced forecast of between $3.7 billion and $3.9 billion. It forecast full-year net service revenue growth of 4 percent to 6 percent and said full-year capital expenditures would be about $6 billion.