Late last week, Palm shares got a boost from Credit Suisse analyst Deepak Sitaraman, who pegged the company with an Outperform rating and $11 price target. For the May 2009 and Feb 2010 periods, he sees a loss of 92 cents and profit of 35 cents a share, respectively. Palm shares have already more than doubled since the start of 2009. Barron's Tech Trader Daily reports, stating:
He thinks Palm can sell 3.3 million units in calendar 2009, jumping to 6.5 million in 2010. He expects revenue in FY 2010 to more than double to $1.9 billion from an estimated $907 million in FY 2009.
The Street has a more cautious outlook however, reasoning that the Pre's customer base is drawing primariliy from Sprint followers and those who don't want to be tied to AT&T's expensive, non-tiered iPhone data plan. In regards to the iPhone, there could be the launch of a new $99 model to compete with Palm's latest offering. And as for Sprint's big launch?
Last month, Sprint said it would put 8,000 workers out of their jobs. Some customers, of course, will switch to Sprint for the Pre, but the outflowing trend doesn't inspire confidence for a hugely successful launch.
Palm, Inc. has since traded at a high of $9.51 on Feb 13, and prices closed at $8.20 last night.
Google Finance has also released Palm Financial Statements for last year.
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