Palm basically invented the smartphone ten years ago and then watched while upstarts RIM and Apple captured the market. This year, Palm reinvented itself as the up-and-coming challenger in the market and investors bought it.
The numbers. Palm introduced the Pre phone running on its WebOS software in June to a great deal of anticipation but only limited consumer demand. Early sales numbers were anemic and have stayed weak. To drum up interest, the price of the Palm Pre was cut during Black Friday to $80, down from the original $200 charge and below the $150 price more recently.
The stock. Palm outpaced the entire smartphone pack and posted a whopping 258% gain so far this year. That performance includes a drop of 38% in the past two months as the Android attack intensified.-- Written by Scott Moritz in New York. Now See: Top 5 Tech Stocks>>>