This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Analysts Play RIM Investors for Suckers

Stocks in this article: RIMM AAPL MSFT YHOO

My retort: IT geeks are nobodies within most companies, particularly big ones with lots of employees and SVPs, presidents and CEOs who are millionaires and billionaires. They have no say. They are told what to do and when to do it. Their job is to get it done. Be seen, not heard.

You don't see this scene much anymore: A person in line at the coffee shop fumbling around with two phones. It used to be a common occurrence here in Southern California -- BlackBerry ringing in one hand, iPhone in the other. There was no way that mess was going to continue.

And it didn't.

Enterprise now orders iPhones ( and iPads by the thousands for their workforces. Heck, at Yahoo! (YHOO - Get Report), CEO Marissa Mayer noted that the company would move away from BlackBerries and subsidize smartphones for its employees. When Mayer speaks, you should listen: The BlackBerry isn't even a smartphone!.

Yet, bulls on Wall Street actually expect RIM to be able to buck this trend when BlackBerry 10 comes out next year? Do they realize what an inane claim and flimsy case this is?

Apple set off a mega-trend -- a shift of just mind-blowing, epic proportion -- when it chewed RIM up, took its time digesting it and spit it out. You don't just reverse that -- as in beat back the power and utility of iOS -- overnight with a new product we know very little about. Even if RIM rolls out a solid line of phones, which it usually does, it likely will not matter.

These analysts are missing on RIM the same way many people miss on mobile. They do not understand the magnitude of what these phenomena are all about. Just as the uptake to mobile monetization on new media platforms will not hit full speed overnight, any traction a deadweight such as RIM gets against Apple will come slowly and not very surely, if it even comes at all.

--Written by Rocco Pendola in Santa Monica, Calif.

Rocco Pendola is TheStreet's Director of Social Media. Pendola's daily contributions to TheStreet frequently appear on CNBC and at various top online properties, such as Forbes.
2 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,191.37 -195.84 -1.13%
S&P 500 2,002.16 -27.39 -1.35%
NASDAQ 4,637.9940 -43.5030 -0.93%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs