Research In Motion Ltd (NASDAQ:BBRY): Normal Return Rates For BlackBerry Z10, says Jefferies
Peter Misek, the analyst of Jefferies & Co said in a report that the normal return rates have been seen for the new Research In Motion Ltd(NASDAQ:BBRY)’s Z10 touchscreen device that underpins BlackBerry’s attempt to reinvent itself, and that the demand had appeared to be positive in Asia.
BlackBerry had already said that it will ask regulators to investigate a report from Boston-based Detwiler Fenton of high return rates for the new device BlackBerry Z10 which is the first BlackBerry to use the new BlackBerry 10 operating system. Misek who was a long-time bear on BlackBerry, turned out as bullish on the stock late last year.
He said that BlackBerry, which changed its name from Research In Motion when it launched the Z10, was increasing its build plan for new devices powered by the Blackberry 10 operating system. He is further expecting that BlackBerry will launch two or three additional models before the end of the year in addition to already announced Q10 which will be launched in some countries later this month and which uses the mini keyboard that has long been one of BlackBerry’s biggest selling points.
He wrote that the checks indicate that builds for Q10 have kicked into high gear and led overall BB10 builds to increase from 2 million a month to 2 million plus and Anecdotal Asia demand checks were positive and U.S. checks indicate that return rates are not abnormally high. In premarket trading BlackBerry’s stock was up 2.1 percent at $14. The volatile shares have more than doubled in value from last year’s low of $6.22.
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