Let’s take a look at analysts’ morning notes.
BEST BUY (BBY):
- JANNEY MONTGOMERY: Maintain buy. We anticipated back end-loaded guidance because of tablets hitting the market and prospects for a better TV cycle in the first half of the year. Given the strong cash position, lower capex, new debt issuance, lower stock price and strong earnings, share repurchases could be above 2010 levels of $1.2 billion.
- CANNACORD GENUITY: AAPL and Samsung will maintain leading share of the tablet market. We expect Apple and Samsung to sell roughly 34 million and 7 million tablets in 2011 or 58% and 12% of the total tablet market of ro ugly 59 million units in 2011. We actually believe sell-through share for Apple and potentially Samsung will be greater than the sell-in share in 2011.
URBAN OUTFITTERS (URBN):
- JANNEY MONTGOMERY: Downgrade to neutral from buy. The shifting fashion landscape may prove challenging, comps may continue to decelerate and margins may contract through 2011.
RESEARCH IN MOTION (RIMM):
- WUNDERLICH SECURITIES: Big changes coming. Plenty of potential upside should scepticism diminish. If management delivers we would not be surprised to see shares well above our target.
- CANNACORD GENUITY: Bearish. Our key concern with RIM’s Playbook remains its price point of $500 for a 7 inch tablet versus very competitive larger tablets such as the iconic iPad 2 and even the Samsung tablets which are more affordable. In order for us to meet RIM’s guidance for F2012 we have to assume several million more Playbook sales combined with much higher Blackberry smarthphone units and ASPs.
- CANNACORD GENUITY: Larger OEMs such as ERIC and Nokia Siemens are most impacted by consolidation in the carrier sector as this typically leads to lower overall CAPEX longer term. However, our checks indicated solid global wireless carrier CAPEX spending trends for 2011, especially with ramping China CAPEX trends.
WARREN RESOURCES (WRES):
- PRITCHARD CAPITAL: Upgraded the independent energy company to buy on improving regulatory environment in California.