In mobile computing era, can Blackberry (RIMM) and Nokia (NOK) keep up with Apple’s (AAPL) and Google’s (GOOG) innovation speed? January 18, 2010Posted by antibeppegrillo in goog, Google, growth stock, investment, nasdaq, Nasdaq stock, NOK, nokia, Research in Motion, RIMM.
Tags: Blackberry, innovation, Iphone, mobile computing, Nexus, smartphones
add a comment
Facts that (amazingly) do not matter:
- Google’s Nexus 2 is a phone that sucks
- Many say that Apple’s IPhone is a phone that sucks
- Blackberry is a great phone and is great for E-mail, Calendar and typing
- Nokia sold great cell phones that work perfectly and are cheap to a Billion humans
If it was just cellphones or smartphones I’d:
- immediately buy a big load of Research in Motion (RIMM) shares that are only priced 13 times forward earnings, 16 times current earnings. Cheap for a company which grew 40% last year and produces the only smartphone suitable for businesses and corporations.
- or I’d get some shares of NOKIA (NOK), which is still World market leader, yields 5% dividends, is priced 0.8 times current sales and has Forward P/E supposed to be 13.
Compared to Apple’s and Google’s Forward P/E in the twenties and P/Sales over 5 times, NOK and RIMM look good.
What scares me about RIMM is the fact that we’re moving toward mobile computing. Computing needs even faster innovation than mobile phones or palms or smartphones.
I think Apple and Google will innovate their products at such a speed that they will become great usable tools before everybody else can figure out how to cope with them.