Banc of America initiated coverage of Research In Motion (RIMM) with buy and a $118 target.
Analyst Tim Long says although the handheld-device maker has had a great run, he expects more upside as enterprises, carriers, and licensees ramp up their Blackberry services. He expects enterprise spending to improve in 2004, with efficiency-enhancing technologies like Blackberry leading the way. He sees upgrades to new, voice-enabled products continuing.
Long notes the company is shipping to over 25 carriers, including 10 of the largest wireless operators in world. He sees 94 cents fiscal 2004 (Feb.) earnings per share, $2.47 in fiscal 2005, and $3.14 in fiscal 2006 -- above consensus estimates of 93 cents, $2.32, and $3.03, respectively.