RIM Update

Speaking of earnings revisions - overnight RIM, according to the Wall Street Journal, has cut it's first quarter earnings outlook by 12 percent.  If we apply that same 12 percent reduction to the annual estimate of $6.91, then we end up with $6.08.  At the same time the shares, as I write this, have dropped to $46.25.  Using our P/E ratio of 10, we get a price target of $60.80.  $60.80 - $46.25 = $14.55.  $14.55 / $46.25 = 31 percent.  For the shares to go from where they are now to my new price target of $60.80, there would have to be an increase of 31 percent in the current price.  As long as I can believe the annual estimate to be accurate, RIM, from a fundamental point of view, still would be attractive.