Research In Motion Ltd (RIMM): Today's Featured Telecommunications Loser

Research in Motion ( RIMM) pushed the Telecommunications industry lower today making it today's featured Telecommunications loser. The industry as a whole closed the day up 0.8%. By the end of trading, Research in Motion fell 11 cents (-0.8%) to $14.03 on light volume. Throughout the day, 10.7 million shares of Research in Motion exchanged hands as compared to its average daily volume of 19.4 million shares. The stock ranged in price between $13.86-$14.22 after having opened the day at $14.21 as compared to the previous trading day's close of $14.14. Other company's within the Telecommunications industry that declined today were: TeleCommunication Systems ( TSYS), down 21.9%, eOn Communications Corporation ( EONC), down 6.6%, Nexxus Lighting ( NEXS), down 6.2%, and Leap Wireless International ( LEAP), down 4.9%.

Research In Motion Limited designs, manufactures, and markets wireless solutions for the mobile communications market worldwide. Research in Motion has a market cap of $7.15 billion and is part of the technology sector. The company has a P/E ratio of 6.1, equal to the average telecommunications industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Shares are down 2.5% year to date as of the close of trading on Thursday. Currently there is one analyst that rates Research in Motion a buy, 11 analysts rate it a sell, and 25 rate it a hold.

TheStreet Ratings rates Research in Motion as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity.

On the positive front, Aware ( AWRE), up 64.4%, Ikanos Communications ( IKAN), up 15.5%, Telenav ( TNAV), up 10.4%, and Envivio ( ENVI), up 10.3%, were all gainers within the telecommunications industry with America Movil S.A.B. de C.V ( AMX) being today's featured telecommunications industry winner.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the telecommunications industry could consider iShares Dow Jones US Telecom ( IYZ) while those bearish on the telecommunications industry could consider ProShares Ult Sht Telecommunication ( TLL).
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