Research In Motion’s stock is barely staying afloat at just $13 per share—down from a high of more than $140—but may go even lower when the company unveils its quarterly earnings at the end of this month.
Last week, we reported that Jefferies analyst Peter Misek issued a warning that the BlackBerry maker will likely miss some of its targets. Now, Toronto-based Northern Securities analyst Sameet Kanade has stated in a research note to clients that one of RIM’s major revenue sources—a per-device fee charged monthly to carriers—may drop substantially.
The revenue from this fee could be reduced by as much as 60%, Sameet says, BYOD trends eat into BlackBerry’s enterprise marketshare. The analyst “firmley believes” that RIM will experience a “significant compression” in service revenue.
Adding salt to the wound, Canaccord Genuity analyst Mike Walkley issued his own research note that suggested RIM is still losing marketshare to Apple and Samsung. Calling BlackBerry sales “soft,” Mike affirms that competing products are “adversely impacting sales.”
Photo: BlackBerry Rocks