RBC Capital Markets analyst Mark Sue on Friday cut his price target for Motorola Mobility stock to $33 from his previous target of $38. Sue also lowered his first and second-quarter sales and revenue forecasts, citing increased competition and slow sales of Motorola’s XOOM tablet. Motorola anticipated a rough first quarter when it reported fourth-quarter and full-year 2010 earnings in January, but Sue now believes earlier estimates were still high. He notes increased competition from devices like the HTC ThunderBolt at key carrier partner Verizon Wireless in revising his first-quarter device sales estimate down to 9.2 million units from 9.9 million. Sue also shaved $100 million from his first-quarter revenue forecast, which now sits at $3 billion. In the second quarter, Sue now sees Motorola selling 10.5 million devices, which includes only 300,000 Motorola XOOM tablets — down from his earlier estimate of 400,000 XOOMs and 10.9 million total devices. Motorola anticipates a net loss of between $26 and $62 million in the first quarter of 2011.
RBC cuts Motorola forecast citing competition, poor XOOM sales
Updated Dec 19th, 2018 7:09PM EST
If you buy through a BGR link, we may earn an affiliate commission, helping support our expert product labs.
This article talks about:
droid estimates forecast Motorola RBC RBC Capital Markets Sales Shipments Verizon verizon wireless VZW Xoom
Zach Epstein has been the Executive Editor at BGR for more than 10 years. He manages BGR’s editorial team and ensures that best practices are adhered to. He also oversees the Ecommerce team and directs the daily flow of all content. Zach first joined BGR in 2007 as a Staff Writer covering business, technology, and entertainment.
His work has been quoted by countless top news organizations, and he was recently named one of the world's top 10 “power mobile influencers” by Forbes. Prior to BGR, Zach worked as an executive in marketing and business development with two private telcos.
