As smartphone sales soar — “the new world order” — Apple, RIM, and Palm are positioned for leadership, RBC analyst Mike Abramsky said today, jacking estimates and price targets for all three companies.
Abramsky increased his forecast for smartphone penetration to 35% of global mobile phone units or 504 million units by 2012, up from his previous forecast of 395 million. He thinks (and this is obvious) that Apple and BlackBerry maker RIM are “positioned for leadership” and that Palm will be too, once it gets out of its short-term funk.
As a result:
- Apple price target jacked to $250 from $190, FY11 estimates $50.3 billion revenue (18% y/y growth) and $8.25 EPS on 49.3 million iPhones. Near-term estimates raised, too.
- RIM price target jacked to $150 from $100, FY11 estimates $21.2 billion revenue (32% y/y growth) and $5.43 EPS. Near-term estimates raised, too.
- Palm price target jacked to $25 from $18, FY11 eatimates $3.2 billion revenue (52% y/y growth) and $0.75 non-GAAP EPS. Near-term estimates raised, too.
Why Palm? The company has near-term challenges but the “special sauce” to lead, Abramsky says, including WebOS platform. But will it be bought before then?
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