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Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


S&P Recommendation HOLD

55555

Price $18.19 (as of Nov 18, 2011)

12-Mo. Target Price $27.00

UPDATE: PLEASE SEE THE ANALYST'S LATEST RESEARCH NOTE IN THE COMPANY NEWS SECTION

GICS Sector Information Technology Sub-Industry Communications Equipment Key Stock Statistics (Source S&P, Vickers, company reports) 52-Wk Range $70.54 17.17 Trailing 12-Month EPS $5.46 Trailing 12-Month P/E 3.3 $10K Invested 5 Yrs Ago $4,084 Price Performance
30-Week Mov. Avg. 12-Mo. Target Price
150

Summary This Canadian company is a leading maker of wireless smartphones sold under the name BlackBerry, which support the global mobile voice and e-mail markets.

S&P Oper. EPS 2012E S&P Oper. EPS 2013E P/E on S&P Oper. EPS 2012E Common Shares Outstg. (M)

4.76 4.89 3.8 520.7

Market Capitalization(B) Yield (%) Dividend Rate/Share Institutional Ownership (%)

$9.471 Nil Nil 53

Beta S&P 3-Yr. Proj. EPS CAGR(%) S&P Credit Rating

1.86 4 NA

Qualitative Risk Assessment


10-Week Mov. Avg. Relative Strength GAAP Earnings vs. Previous Year Up Down No Change Volume Above Avg. Below Avg. STARS

LOW

MEDIUM

HIGH

80

40

Our risk assessment reflects intense competition from larger and better-capitalized companies, RIMM's need to enhance its current products and develop new products to increase its BlackBerry customer base, and dependence on carrier partners to sell new BlackBerry devices. Quantitative Evaluations

20

Vol. Mil. 120 80 40 0 5 1 J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J 3 4 3 4 3

S&P Quality Ranking


D C BB B+ AA A+

Relative Strength Rank


8
LOWEST = 1

WEAK
HIGHEST = 99

2008

2009

2010

2011
Options: ASE, CBOE, Ph

Revenue/Earnings Data Revenue (Million $) 1Q 2Q 2012 4,908 4,168 2011 4,235 4,621 2010 3,424 3,526 2009 2,243 2,577 2008 1,082 1,372 2007 613.1 658.5 Earnings Per Share ($) 2012 1.33 0.63 2011 1.38 1.46 2010 1.12 0.83 2009 0.84 0.86 2008 0.39 0.50 2007 0.23 0.25

Analysis prepared by Equity Analyst J. Moorman, CFA on Sep 20, 2011, when the stock traded at $22.73. Highlights

Investment Rationale/Risk

Following a 33% revenue increase in FY 11 (Feb.), we expect advances of 1% in FY 12 and 5% in FY 13, on the new Blackberry OS7 series of new smartphones introduced in August and being in launched with carriers around the world. RIMM is also expected to launch a line of higher-end smartphones in early 2012 based on its QNX operating system. However, we believe the PlayBook tablet is struggling and that the company will spend to promote the product, which could weigh on gross margins. We forecast that gross margins will decline to 39.4% in FY 12, from 44.3% in FY 11, and then fall further to 38.9% in FY 13, with the decline due to the launch of the lower-margin Playbook, and R&D associated with new operating systems and the launch of two series of handsets in FY 11 and early in FY 12. We expect operating margins to narrow to 15.9% in FY 12 and then to 15.3% in FY 13. We estimate EPS of $4.76 for FY 12 and $4.89 for FY 13, versus $6.34 in FY 11.

Our hold recommendation on the shares reflects our expectation for additional spending on the PlayBook, spending for the launch of the Blackberry 7 Operating System and an operating system upgrade in early calendar year 2012 to QNX. We expect solid near-term unit performance as carriers stock the new handsets across the globe, but following the initial launch, we do not think this lineup will have a significant draw to new subscribers until the QNX line launches in 2012. RIMM did not repurchase shares in the recent quarter, due in part to the investment in intellectual property from Nortel. Risks to our opinion and target price include weaker demand for smartphones, significant further declines in average selling prices, delays in new products, and network disruptions. The stock recently traded at about 4.6X our FY 13 EPS projection. Despite gross margin pressure, we forecast annual earnings growth of 3.5% over the next three years. Our 12-month target price of $27 is based on a peer-average P/E-to-growth (PEG) ratio of about 1.6X and a below-average P/E of 5.5X our FY 13 estimate.

3Q -5,495 3,924 2,782 1,673 835.1

4Q -5,556 4,080 3,463 1,883 930.4

Year -19,907 14,953 11,065 6,009 3,037

E1.24 1.74 1.10 0.69 0.65 0.31

E1.39 1.78 1.27 0.90 0.72 0.33

E4.76 6.34 4.31 3.30 2.26 1.10

Fiscal year ended Feb. 28. Next earnings report expected: Mid December. EPS Estimates based on S&P Operating Earnings; historical GAAP earnings are as reported.

Dividend Data Cash dividends were last paid in October 1997.

Please read the Required Disclosures and Analyst Certification on the last page of this report.
Redistribution or reproduction is prohibited without written permission. Copyright 2011 The McGraw-Hill Companies, Inc.

Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


Business Summary September 20, 2011 CORPORATE OVERVIEW. Research In Motion Ltd. (RIMM), founded in 1984, is best known for its BlackBerry wireless e-mail device. Introduced in 1999, BlackBerry has found popularity primarily in the enterprise market (large corporations and government institutions), but has recently also had success penetrating the consumer market. Through the development of integrated hardware, software and services that support multiple wireless network standards, RIMM provides e-mail, phone, short messaging service (SMS), messaging, Internet and Intranet-based applications. BlackBerry hardware units accounted for 73% of total revenue in the second quarter of FY 12 (Feb.), down from 78% in the preceding quarter, on lower unit growth. RIMM's service revenues contributed 24% in the second quarter, up from 20% in the first quarter, and other software, OEM, accessories and other revenues accounted for 3%, up from 2% in the first quarter. Handheld sales were the driver in FY 11, but we expect a slight decline of 0.4% in FY 12 due to delays with the 7.0 Blackberry OS devices, but believe that unit shipments should pick up near the end of the year as the new OS devices are stocked by carriers around the world. MARKET PROFILE. We think the market for wireless solutions that support data services is in a faster growth stage than the broader wireless voice market. Overall growth in the traditional phone market has been in the low double digits for the past five years, while the combined annual growth rate of the smartphone market in the U.S. over the same period was 58%. This is a segment that RIMM's handsets target, and it had a roughly 23% share as of April 2011, according to Nielsen Mobile Insights. At the end of August 2011, we estimate RIMM had just under 70 million BlackBerry subscribers. While traditionally focused on the enterprise market, the company has launched new consumer-oriented products, increasing its handset base to over 50% from consumers, we believe. RIMM's BlackBerry service is offered by some 565 wireless carriers around the globe. PRIMARY BUSINESS DYNAMICS. The company has stopped providing subscriber information, but we estimate RIMM has close to 70 million subscribers. About 56% of RIMM's revenue in the August quarter was derived from international operations. In the second quarter of FY 12, RIMM shipped about 10.6 million devices, below our estimate of 11.2 million. The company expects third-quarter FY 12 revenue of $5.3 billion to $5.6 billion, on sales of 13.5 million to 14.5 million units, with a gross margin of about 37.0%. COMPETITIVE LANDSCAPE. RIMM's principal competitor had been Palm, but the launch of the Android operating system has leveled the playing field. Furthermore, in June 2007, July 2008, June 2009 and again in June 2010, Apple Inc. launched versions of the multi-media iPhone that we believe helped further stimulate consumer demand for smartphones, but also took market share from RIMM. For FY 12, we expect RIMM's average selling price for its BlackBerry series to decline due to an aging product line and a delay in the launch of Blackberry 7 devices. We believe the average selling price per handset was $277 in the second quarter of FY 12, down from a year earlier, due largely to older devices. In August 2010, India's Ministry of Home Affairs announced it would implement RIMM's proposal for access by law enforcement agencies. The Indian government planned to study the proposal to gauge its feasibility. The Indian government had threatened to ban RIMM's consumer e-mail services. LEGAL/REGULATORY ISSUES. In March 2006, RIMM and NTP signed a definitive licensing and settlement agreement whereby RIMM paid NTP US$612.5 million in full and final settlement of all claims against RIMM and for a perpetual, fully paid license going forward. FINANCIAL TRENDS. We believe RIMM still has an attractive position in the enterprise mobile market, with revenue growth driving its earnings gains and operating cash flow. We think RIMM is in a transition period as it ramps up new devices and realigns its cost structure, partly by laying off employees. The company had $1.1 billion of cash and short-term and long-term investments and nearly no long-term debt as of August 27, 2011. Corporate Information Investor Contact B. Bidulka (519-888-7465) Office 295 Phillip Street, Waterloo, ON, Canada N2L 3W8. Telephone 519-888-7465. Fax 519-888-7884. Email investor_relations@rim.net Website www.rim.net

Officers Co-Chrmn, Pres & Co-CEO M. Lazaridis Co-Chrmn & Co-CEO J.L. Balsillie COO J. Rowan General Counsel K. Bawa

Board Members J. L. Balsillie D. W. Kerr C. B. Kotchka M. Lazaridis R. L. Martin J. E. Richardson B. G. Stymiest A. Viana-Baptista J. Wetmore

Domicile Ontario Founded 1984 Employees 17,500 Stockholders NA

Redistribution or reproduction is prohibited without written permission. Copyright 2011 The McGraw-Hill Companies, Inc.

Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


Quantitative Evaluations S&P Fair Value Rank
NR 1
LOWEST

Expanded Ratio Analysis


2 3 4 5
HIGHEST

Based on S&P's proprietary quantitative model, stocks are ranked from most overvalued (1) to most undervalued (5).

Fair Value Calculation Investability Quotient Percentile Volatility Technical Evaluation Insider Activity

NA

Price/Sales Price/EBITDA Price/Pretax Income P/E Ratio Avg. Diluted Shares Outstg (M)
Figures based on calendar year-end price

2011 0.49 1.63 2.11 2.87 538.3

2010 2.21 8.24 10.14 13.48 569.8

2009 3.50 12.71 13.85 20.49 574.2

2008 3.87 12.18 12.84 17.97 572.8

55
LOWEST = 1 HIGHEST = 100

Key Growth Rates and Averages Past Growth Rate (%) Sales Net Income Ratio Analysis (Annual Avg.) Net Margin (%) % LT Debt to Capitalization Return on Equity (%)
1 Year 3 Years 5 Years 9 Years

RIMM scored higher than 55% of all companies for which an S&P Report is available.

33.13 38.82

47.62 37.29

61.24 55.28

67.01 NM

LOW BEARISH

AVERAGE

HIGH

Since September, 2011, the technical indicators for RIMM have been BEARISH.

17.13 Nil 41.20

16.89 Nil 38.77

18.60 0.09 36.96

9.73 0.25 22.33

NA

UNFAVORABLE

NEUTRAL

FAVORABLE

Company Financials Fiscal Year Ended Feb. 28 Per Share Data ($) Tangible Book Value Cash Flow Earnings Dividends Payout Ratio Calendar Year Prices:High Prices:Low P/E Ratio:High P/E Ratio:Low Income Statement Analysis (Million $) Revenue Operating Income Depreciation Interest Expense Pretax Income Effective Tax Rate Net Income 2011 12.73 8.06 6.34 Nil Nil 2010 76.95 42.53 12 7 2010 11.02 5.39 4.31 Nil Nil 2009 88.08 35.05 20 8 2009 8.25 3.87 3.30 Nil Nil 2008 148.13 35.09 45 11 2008 5.95 2.57 2.26 Nil Nil 2007 137.01 39.92 61 18 2007 4.01 1.33 1.10 Nil Nil 2006 47.55 20.34 43 18 2006 3.38 0.84 0.65 Nil Nil 2005 28.18 17.00 43 26 2005 3.29 0.48 0.36 Nil Nil 2004 34.52 11.02 95 30 2004 5.85 0.38 0.10 Nil Nil 2003 11.83 1.79 NM NM 2003 1.35 -0.25 -0.32 Nil Nil 2002 4.93 1.39 NM NM 2002 1.79 -0.02 -0.06 Nil Nil 2001 12.88 2.28 NM NM

19,907 6,001 927 Nil 4,644 26.6% 3,411

14,953 4,017 616 Nil 3,267 24.8% 2,457

11,065 3,050 328 0.50 2,800 32.4% 1,893

6,009 1,909 177 0.52 1,811 28.5% 1,294

3,037 935 127 0.49 859 26.5% 632

2,066 708 85.9 Nil 486 21.4% 382

1,350 453 66.8 Nil 71.2 NM 213

595 127 54.5 Nil 47.6 NM 51.8

307 -32.6 31.6 Nil -118 NM -149

294 -41.2 17.5 Nil -38.3 NM -28.5

Balance Sheet & Other Financial Data (Million $) Cash 2,121 Current Assets 7,488 Total Assets 12,875 Current Liabilities 3,630 Long Term Debt Nil Common Equity 8,938 Total Capital 8,938 Capital Expenditures 1,039 Cash Flow 4,338 Current Ratio 2.1 % Long Term Debt of Capitalization Nil % Net Income of Revenue 17.1 % Return on Assets 29.6 % Return on Equity 41.2

1,911 5,813 10,204 2,432 Nil 7,603 7,603 1,009 3,073 2.4 Nil 16.4 26.8 36.5

1,518 4,842 8,101 2,115 Nil 5,874 5,874 834 2,221 2.3 Nil 17.1 27.8 38.6

1,605 3,477 5,511 1,474 7.26 3,934 4,006 352 1,471 2.4 0.2 21.5 30.1 40.3

987 1,919 3,089 547 6.34 2,484 2,542 254 759 3.5 0.3 20.8 23.4 28.2

460 1,257 2,312 279 6.85 1,999 2,033 179 468 4.5 0.3 18.5 15.5 19.2

610 1,544 2,621 631 6.50 1,984 1,990 109 280 2.4 0.3 15.8 9.4 11.5

1,156 1,355 1,931 209 6.24 1,716 1,723 21.8 106 6.5 0.4 8.7 3.7 4.3

341 425 860 149 5.78 705 711 39.7 -117 2.9 0.8 NM NM NM

645 737 948 59.5 11.9 877 889 78.8 -11.0 12.4 1.3 NM NM NM

Data as orig reptd.; bef. results of disc opers/spec. items. Per share data adj. for stk. divs.; EPS diluted. E-Estimated. NA-Not Available. NM-Not Meaningful. NR-Not Ranked. UR-Under Review. Redistribution or reproduction is prohibited without written permission. Copyright 2011 The McGraw-Hill Companies, Inc.

Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


Sub-Industry Outlook
Our fundamental outlook for the communications equipment sub-industry is neutral. While we view the continued rapid consumption of network bandwidth, buoyed by the proliferation of tablets and smartphones, as a solid long-term growth driver for the industry, we see a muted near-term operating outlook. Specifically, we think macro concerns over the uncertain path of the domestic economy, as well as the impact of increasing European sovereign stress and monetary tightening in emerging markets is creating a more cautious telecom and enterprise spending environment. While near-term industry spending may be choppy, we see strong positive secular demand trends toward virtualization and data center transformation. In the service provider vertical, near-term equipment sales, particularly for optical components, is being hampered by customer inventory adjustments following aggressive network spending during the latter part of 2010. We also believe carriers are being very cautious with spending, but think could start spending more in early 2012, as new technologies such as Long Term Evolution (LTE) in the wireless space, DOCSIS3.0 in the cable space, and 40G and 100G in the optical space gain commercial traction. We expect accelerated equipment funding related to the $7 billion government broadband stimulus plan. We also see spending priorities shifting to the wireless side, reflecting a rapid rise in mobile broadband driven by increased use of smartphones and tablets. In the enterprise vertical, data center consolidation, server virtualization, and cloud computing are gaining widespread acceptance. The industry is undergoing a technology shift toward convergence, where customers require product platform to offer computing, networking, storage, and other applications all in one box. As a result of this trend, market segments have become more intertwined, with traditional data networking companies like Cisco Systems (CSCO 19, Hold) finding themselves in competition with server and computing players. We expect the need for integrated solutions to continue to push companies to aggressively partner or acquire missing technologies going forward. Year to date through November 11, the S&P Communications Equipment Index declined 1.1%, versus a 0.3% increase for the S&P 1500. We note that the sub-sector is heavily weighted to Cisco ($102 billion market cap), which has seen its stock price fall approximately 5% this year, but has rallied recently due to what we view as improving fundamentals. Overall, we forecast a low single-digit increase in 2011 industry sales, versus the low single-digit decline registered during 2010. --J. Moorman, CFA

Stock Performance
GICS Sector: Information Technology Sub-Industry: Communications Equipment Based on S&P 1500 Indexes Month-end Price Performance as of 10/31/11
140

120

100

80

60

40

20

2007
Sub-Industry

2008

2009

2010
S&P 1500

2011

Sector

NOTE: All Sector & Sub-Industry information is based on the Global Industry Classification Standard (GICS)

Sub-Industry : Communications Equipment Peer Group*: Wireless Equipment


Peer Group Research in Motion Axesstel Inc Ceragon Networks China Techfaith Wireless Comm ADR Ericsson(LM)Tel'B'ADS InterDigital Inc Ituran Location & Ctrl Motorola Solutions Nokia Corp *ADS Numerex Corp PC-Tel Inc Powerwave Technologies Proxim Wireless QUALCOMM Inc Sierra Wireless Stock Symbol RIMM AXST CRNT CNTF ERIC IDCC ITRN MSI NOK NMRX PCTI PWAVD PRXM QCOM SWIR Stk.Mkt. Cap. (Mil. $) 9,471 6 278 7 29,201 2,155 274 14,835 24,153 120 125 76 NA 93,580 206 Recent Stock Price($) 18.19 0.24 7.87 2.08 9.92 47.37 13.08 45.57 6.51 7.97 7.16 2.40 1.60 55.67 6.80 52 Week High/Low($) 70.54/17.17 0.27/0.04 14.34/7.72 6.96/1.56 15.44/8.83 82.50/32.75 18.58/11.27 64.61/36.52 11.75/4.82 11.44/4.95 8.13/5.64 24.35/1.97 9.25/1.60 59.84/45.98 16.50/6.04 Beta 1.86 -0.31 1.40 1.08 1.06 0.74 1.01 1.56 1.54 1.47 1.20 2.89 0.93 0.97 2.00 Yield (%) Nil Nil Nil Nil 3.1 0.8 7.6 1.9 7.4 Nil Nil Nil Nil 1.5 Nil P/E Ratio 3 NM NM 3 14 21 23 12 26 NM NM NM NM 23 NM Fair Value Calc.($) NA NA 7.50 NA 11.10 NA NA 34.50 4.50 6.00 NA NA NA 56.00 NA S&P Return on Quality IQ Revenue Ranking %ile (%) B NR NR NR NR B NR C NR BC BC B+ B 55 2 20 37 31 89 67 36 88 18 85 7 NA 91 84 21.5 NA 5.6 10.5 5.5 38.9 14.9 1.3 4.4 NA NA 0.6 NA 30.4 NA LTD to Cap (%) NA NA NA 0.1 15.2 3.0 4.4 16.6 20.6 NA NA 71.0 15.0 NA NA

NA-Not Available NM-Not Meaningful NR-Not Rated. *For Peer Groups with more than 15 companies or stocks, selection of issues is based on market capitalization.

Source: S&P. Redistribution or reproduction is prohibited without written permission. Copyright 2011 The McGraw-Hill Companies,Inc.

Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


S&P Analyst Research Notes and other Company News
November 7, 2011 Research In Motion Limited's Indian unit announced its managing director, Frenny Bawa, had left the company to pursue other interests and the BlackBerry maker has appointed an interim replacement. Urpo Karjalainen, senior vice-president for Greater China, India and Australia and New Zealand, will oversee business operations for India until RIM names a permanent replacement for Bawa. October 13, 2011 10:56 am ET ... S&P MAINTAINS HOLD OPINION ON SHARES OF RESEARCH IN MOTION (RIMM 23.14***): RIMM held a conference call this morning to announce that its service has been restored in full. The company is still trying to determine the exact details of the network failure and has not yet made a decision on compensating for the break in service. While the timing of the network outage is unfortunate given the launch of the iPhone 4S, we believe postpaid contracts could limit the number of defections at this time and negative sentiment should dissipate over time. We maintain our 12-month target price of $27, based on P/E analysis. /James Moorman, CFA October 12, 2011 01:16 pm ET ... S&P MAINTAINS HOLD OPINION ON SHARES OF RESEARCH IN MOTION (RIMM 24.29***): According to an unconfirmed Wall Street Journal article, RIMM's network continues to see outages and they have spread to North America. While this is a negative in the near-term, particularly with high-profile smartphone launches coming from a major competitor, we view it only as a short-term disruption. Despite competition from other smartphone launches, we continue to believe RIMM will see solid smartphone volume in the near-term as carriers stock the new BB7 smartphones. We maintain our 12-month target price of $27, based on P/E analysis. /James Moorman, CFA October 5, 2011 UP 2.68 to 23.68... RIMM shares seen higher on takeover speculation. S&P Capital IQ maintains hold.... October 5, 2011 12:16 pm ET ... S&P MAINTAINS HOLD OPINION ON SHARES OF RESEARCH IN MOTION (RIMM 24.06***): RIMM shares are up over 14% today, we think, due in part to an unconfirmed report in the U.K.'s The Independent newspaper citing takeover rumors. We do not believe that RIMM would be pursued by a wireless carrier or that the co-CEOs are looking to give up leadership of the company. Separately, we view the lack of an LTE or WiMAX version of the iPhone as a positive, but believe the lower priced version of the iPhone 4 will increase competition in the U.S. We continue to believe RIMM will see solid smartphone volume in the near-term as carriers stock the new BB7 smartphones. /James Moorman, CFA September 29, 2011 02:47 pm ET ... S&P MAINTAINS HOLD OPINION ON SHARES OF RESEARCH IN MOTION (RIMM 20.85***): RIMM announced its head of developer relations is leaving the company and will be replaced by Alec Saunders, a former exec with QNX Software Systems. We are not totally surprised by this, given recent management shakeups and the importance of the QNX operating system for a new line of handsets we expect in early 2012. Separately, Best Buy (BBY 24, Buy) has started selling the 16GB PlayBook for $299, $200 below its former price. We view this as in line with RIMM's Aug-Q conference call, which mentioned increased marketing costs for the tablet would impact gross margins. /James Moorman, CFA September 27, 2011 UP 1.39 to 23.07... S&P Capital IQ says RIMM shares are up over 6% following an unconfirmed Reuters report that Carl Icahn has established a position in the stock. Maintains hold. ... September 27, 2011 02:26 pm ET ... S&P MAINTAINS HOLD OPINION ON SHARES OF RESEARCH IN MOTION (RIMM 23.09***): RIMM shares are up over 6% following an unconfirmed Reuters report that Carl Icahn has established a position in the stock. We believe that, if true, this would be viewed positively as it could lead to changes in the company to potentially unlock value. We think the company still faces long term challenges, including the current rollout of the new Blackberry 7 handset, and the planned QNX handset in early 2012. We maintain our 12-month target price of $27, based on P/E analysis. /James Moorman, CFA September 21, 2011 10:18 am ET ... S&P MAINTAINS HOLD OPINION ON SHARES OF RESEARCH IN MOTION (RIMM 22.24***): DigiTimes, in an unconfirmed report, notes that RIMM's manufacturing partner has cut back on production of the PlayBook. With only 200k tablets being shipped in the Aug-Q, this does not totally surprise us. We view the PlayBook, at this point, as more of a facilitator to get programmers familiar with the QNX operating system ahead of the release of QNX handsets, in order to have applications available. We believe RIMM will see solid handset unit volumes in the Nov-Q as carriers stock up on Blackberry 7 handsets. /James Moorman, CFA September 16, 2011 RIMM posts $0.63 vs. $1.46 Q2 EPS on 10% lower revenue. Posts $0.80 adj. Q2 EPS. S&P Capital IQ consensus forecast was $4.2B Q2 revenue, vs. reported $4.168B. Expects Q3 revenue to be in the range of $5.3B-$5.6B, gross margin percentage is expected to be about 37%. Says it expects adj. Q3 EPS to be in the range of $1.20-$1.40. FY 12 adj. EPS is expected to be towards the low end of previously guided range of $5.25-$6.00. Raymond James reportedly downgrades. September 16, 2011 09:35 am ET ... S&P MAINTAINS HOLD OPINION ON SHARES OF RESEARCH IN MOTION (RIMM 22.82***): RIMM reports Aug-Q EPS of $0.80, vs. $1.46, $0.03 below our estimate and $0.08 below the Capital IQ consensus forecast. Both tablet and smartphone volumes were below our estimates. We are concerned RIMM plans to spend additional funds to promote the tablet, but believe shares could stabilize on sell-in of new BB7 smartphones, news of a tablet software upgrade and a demo of the QNX software in Oct. We are cutting our FY '12 EPS estimate by $0.09 to $4.76 and '13's by $0.17 to $4.89. We are reducing our 12-month target price by $3 to $27 based on revised P/E analysis. /James Moorman, CFA September 16, 2011 09:02 am ET ... RESEARCH IN MOTION LIMITED (RIMM 29.54) UNCHANGED, RESEARCH IN MOTION (RIMM) GIVES WEAK OUTLOOK. JEFFERIES KEEPS UNDERPERFORM... Analyst Peter Misek tells salesforce Q2 was weaker than expected, and while lowered guidance is realistic, he thinks it could be difficult to achieve. Notes his checks indicate slowing sell-through of new OS 7 handsets, and he believes a new low-cost iPhone and low-end Android phones will pressure RIMM in the mid-range and low-end, respectively; however, says lower channel inventories in Q2 make guidance more possible. Therefore, maintains his below consensus $4.00/$3.21 FY 12/FY 13 (Feb.) EPS estimates. Rates underperform, with $25 target. S.Trombino

Source: S&P. Redistribution or reproduction is prohibited without written permission. Copyright 2011 The McGraw-Hill Companies,Inc.

Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


Analysts' Recommendations
Monthly Average Trend Buy
B

Wall Steet Consensus Opinion


Buy/Hold
BH

Hold
H

Weak Hold
WH

Sell S

No Opinion

RIMM Trend

HOLD Companies Offering Coverage Over 30 firms follow this stock; not all firms are displayed. Atlantic Equities LLP Axia Financial research BMO Capital Markets, U.S. Equity Research BMO Capital Markets, Canadian Equity Research Barclays Capital Berenberg Bank BofA Merrill Lynch Brigantine Advisors CIBC World Markets Inc. Canaccord Genuity Caris & Company Citigroup Inc Cormark Securities Inc. Cowen and Company, LLC Credit Agricole Securities (USA) Inc. Credit Suisse Deutsche Bank Dundee Securities Corporation Exane BNP Paribas First Global Stockbroking (P) Ltd. GMP Securities L.P. Genuity Capital Markets Gleacher & Company, Inc. Goldman Sachs Hudson Securities Inc. ISI Group Inc. JMP Securities JP Morgan Jesup & Lamont Securities Corporation Kaufman Bros., L.P. Wall Street Consensus vs. Performance

Wall Street Average


B BH H WH S

Number of Analysts Following Stock 55 50 45

Stock Price ($) 120

80

40

2010

2011

Of the total 63 companies following RIMM, 54 analysts currently publish recommendations. No. of Ratings 3 5 29 7 8 2 54 % of Total 6 9 54 13 15 4 100 1 Mo. Prior 3 Mos. Prior 3 4 5 8 27 28 8 5 9 7 2 1 54 53

Buy Buy/Hold Hold Weak Hold Sell No Opinion Total Wall Street Consensus Estimates
Estimates 10 8 6 4
J A S O N D J

2012

2013

For fiscal year 2012, analysts estimate that RIMM will earn $4.50. For the 2nd quarter of fiscal year 2012, RIMM announced earnings per share of $0.63, representing 14% of the total annual estimate. For fiscal year 2013, analysts estimate that RIMM's earnings per share will decline by 3% to $4.38.
M A M J J A S O N

2010

2011

Fiscal Years 2013 2012 2013 vs. 2012 Q3'13 Q3'12 Q3'13 vs. Q3'12

Avg Est. 4.38 4.50 -3% 1.24 1.23 0.8%

High Est. 6.96 5.27 32% 1.80 1.30 38%

Low Est. 3.00 3.97 -24% 1.72 1.16 48%

# of Est. 54 54 0% 28 42 -33%

Est. P/E 4.2 4.0 5% 14.7 14.8 -0.7%

A company's earnings outlook plays a major part in any investment decision. Standard & Poor's organizes the earnings estimates of over 2,300 Wall Street analysts, and provides their consensus of earnings over the next two years. This graph shows the trend in analyst estimates over the past 15 months.

Source: S&P, Capital IQ Estimates, Inc. Redistribution or reproduction is prohibited without written permission. Copyright 2011 The McGraw-Hill Companies,Inc.

Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


Glossary
S&P STARS Since January 1, 1987, Standard and Poors Equity Research Services has ranked a universe of common stocks based on a given stocks potential for future performance. Under proprietary STARS (STock Appreciation Ranking System), S&P equity analysts rank stocks according to their individual forecast of a stocks future total return potential versus the expected total return of a relevant benchmark (e.g., a regional index (S&P Asia 50 Index, S&P Europe 350 Index or S&P 500 Index)), based on a 12-month time horizon. STARS was designed to meet the needs of investors looking to put their investment decisions in perspective. Data used to assist in determining the STARS ranking may be the result of the analysts own models as well as internal proprietary models resulting from dynamic data inputs. S&P 12-Month Target Price The S&P equity analysts projection of the market price a given security will command 12 months hence, based on a combination of intrinsic, relative, and private market valuation metrics, including S&P Fair Value. Investment Style Classification Characterizes the stock as Growth or Value, and indicates its capitalization level. Growth is evaluated along three dimensions (earnings, sales and internal growth), while Value is evaluated along four dimensions (book-to-price, cash flow-to-price, dividend yield and sale-to-price). Growth stocks score higher than the market average on growth dimensions and lower on value dimensions. The reverse is true for Value stocks. Certain stocks are classified as Blend, indicating a mixture of growth and value characteristics and cannot be classified as purely growth or value. S&P EPS Estimates Standard & Poor's earnings per share (EPS) estimates reflect analyst projections of future EPS from continuing operations, and generally exclude various items that are viewed as special, non-recurring, or extraordinary. Also, S&P EPS estimates reflect either forecasts of S&P equity analysts; or, the consensus (average) EPS estimate, which are independently compiled by Capital IQ, a data provider to Standard & Poor's Equity Research. Among the items typically excluded from EPS estimates are asset sale gains; impairment, restructuring or merger-related charges; legal and insurance settlements; in process research and development expenses; gains or losses on the extinguishment of debt; the cumulative effect of accounting changes; and earnings related to operations that have been classified by the company as discontinued. The inclusion of some items, such as stock option expense and recurring types of other charges, may vary, and depend on such factors as industry practice, analyst judgment, and the extent to which some types of data is disclosed by companies. S&P Core Earnings Standard & Poor's Core Earnings is a uniform methodology for adjusting operating earnings by focusing on a company's after-tax earnings generated from its principal businesses. Included in the Standard & Poor's definition are employee stock option grant expenses, pension costs, restructuring charges from ongoing operations, write-downs of depreciable or amortizable operating assets, purchased research and development, M&A related expenses and unrealized gains/losses from hedging activities. Excluded from the definition are pension gains, impairment of goodwill charges, gains or losses from asset sales, reversal of prior-year charges and provision from litigation or insurance settlements. Qualitative Risk Assessment The S&P equity analysts view of a given companys operational risk, or the risk of a firms ability to continue as an ongoing concern. The Qualitative Risk Assessment is a relative ranking to the S&P U.S. STARS universe, and should be reflective of risk factors related to a companys operations, as opposed to risk and volatility measures associated with share prices. Quantitative Evaluations In contrast to our qualitative STARS recommendations, which are assigned by S&P analysts, the quantitative evaluations described below are derived from proprietary arithmetic models. These computer-driven evaluations may at times contradict an analysts qualitative assessment of a stock. One primary reason for this is that different measures are used to determine each. For instance, when designating STARS, S&P analysts assess many factors that cannot be reflected in a model, such as risks and opportunities, management changes, recent competitive shifts, patent expiration, litigation risk, etc. S&P Quality Ranking Growth and stability of earnings and dividends are deemed key elements in establishing S&Ps Quality Rankings for common stocks, which are designed to capsulize the nature of this record in a single symbol. It should be noted, however, that the process also takes into consideration certain adjustments and modifications deemed desirable in establishing such rankings. The final score for each stock is measured against a scoring matrix determined by analysis of the scores of a large and representative sample of stocks. The range of scores in the array of this sample has been aligned with the following ladder of rankings: A+ A AB+ NR Highest High Above Average Average Not Ranked B BC D Below Average Lower Lowest In Reorganization as an indicator of potential medium-to-long term return and as a caution against downside risk. The measure takes into account variables such as technical indicators, earnings estimates, liquidity, financial ratios and selected S&P proprietary measures. S&P's IQ Rationale: Research in Motion Proprietary S&P Measures Technical Indicators Liquidity/Volatility Measures Quantitative Measures IQ Total Raw Score 10 10 19 48 87 Max Value 115 40 20 75 250

Volatility Rates the volatility of the stocks price over the past year. Technical Evaluation In researching the past market history of prices and trading volume for each company, S&Ps computer models apply special technical methods and formulas to identify and project price trends for the stock. Relative Strength Rank Shows, on a scale of 1 to 99, how the stock has performed versus all other companies in S&Ps universe on a rolling 13-week basis. Global Industry Classification Standard (GICS) An industry classification standard, developed by Standard & Poor's in collaboration with Morgan Stanley Capital International (MSCI). GICS is currently comprised of 10 Sectors, 24 Industry Groups, 68 Industries, and 154 Sub-Industries. S&P Issuer Credit Rating A Standard & Poors Issuer Credit Rating is a current opinion of an obligors overall financial capacity (its creditworthiness) to pay its financial obligations. This opinion focuses on the obligors capacity and willingness to meet its financial commitments as they come due. It does not apply to any specific financial obligation, as it does not take into account the nature of and provisions of the obligation, its standing in bankruptcy or liquidation, statutory preferences, or the legality and enforceability of the obligation. In addition, it does not take into account the creditworthiness of the guarantors, insurers, or other forms of credit enhancement on the obligation. The Issuer Credit Rating is not a recommendation to purchase, sell, or hold a financial obligation issued by an obligor, as it does not comment on market price or suitability for a particular investor. Issuer Credit Ratings are based on current information furnished by obligors or obtained by Standard & Poors from other sources it considers reliable. Standard & Poors does not perform an audit in connection with any Issuer Credit Rating and may, on occasion, rely on unaudited financial information. Issuer Credit Ratings may be changed, suspended, or withdrawn as a result of changes in, or unavailability of, such information, or based on other circumstances. Exchange Type ASE - American Stock Exchange; NNM - Nasdaq National Market; NSC - Nasdaq SmallCap; NYSE - New York Stock Exchange; BB - OTC Bulletin Board; OT Over-the-Counter; TO - Toronto Stock Exchange. S&P Equity Research Services Standard & Poors Equity Research Services U.S. includes Standard & Poors Investment Advisory Services LLC; Standard & Poors Equity Research Services Europe includes McGraw-Hill Financial Research Europe Limited trading as Standard & Poors; Standard & Poors Equity Research Services Asia includes Standard & Poors LLCs offices in Singapore, Standard & Poors Investment Advisory Services (HK) Limited in Hong Kong, Standard & Poors Malaysia Sdn Bhd, and Standard & Poors Information Services (Australia) Pty Ltd.

S&P Fair Value Rank Using S&P's exclusive proprietary quantitative model, stocks are ranked in one of five groups, ranging from Group 5, listing the most undervalued stocks, to Group 1, the most overvalued issues. Group 5 stocks are expected to generally outperform all others. A positive (+) or negative (-) Timing Index is placed next to the Fair Value ranking to further aid the selection process. A stock with a (+) added to the Fair Value Rank simply means that this stock has a somewhat better chance to outperform other stocks with the same Fair Value Rank. A stock with a (-) has a somewhat lesser chance to outperform other stocks with the same Fair Value Rank. The Fair Value rankings imply the following: 5-Stock is significantly undervalued; 4-Stock is moderately undervalued; 3-Stock is fairly valued; 2-Stock is modestly overvalued; 1-Stock is significantly overvalued. S&P Fair Value Calculation The price at which a stock should trade at, according to S&P's proprietary quantitative model that incorporates both actual and estimated variables (as opposed to only actual variables in the case of S&P Quality Ranking). Relying heavily on a company's actual return on equity, the S&P Fair Value model places a value on a security based on placing a formula-derived price-to-book multiple on a company's consensus earnings per share estimate. Insider Activity Gives an insight as to insider sentiment by showing whether directors, officers and key employees who have proprietary information not available to the general public, are buying or selling the companys stock during the most recent six months. Funds From Operations FFO FFO is Funds from Operations and equal to a REIT's net income, excluding gains or losses from sales of property, plus real estate depreciation. Investability Quotient (IQ) The IQ is a measure of investment desirability. It serves

Redistribution or reproduction is prohibited without written permission. Copyright 2011 Standard & Poor's Financial Services LLC. STANDARD & POORS, S&P, S&P 500, S&P Europe 350 and STARS are registered trademarks of Standard & Poors Financial Services LLC.

Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


Abbreviations Used in S&P Equity Research Reports CAGR- Compound Annual Growth Rate; CAPEX- Capital Expenditures; CY- Calendar Year; DCF- Discounted Cash Flow; EBIT- Earnings Before Interest and Taxes; EBITDAEarnings Before Interest, Taxes, Depreciation and Amortization; EPS- Earnings Per Share; EV- Enterprise Value; FCF- Free Cash Flow; FFO- Funds From Operations; FY- Fiscal Year; P/E- Price/Earnings ; PEG RatioP/E-to-Growth Ratio; PV- Present Value; R&D- Research & Development; ROE- Return on Equity; ROI- Return on Investment; ROIC- Return on Invested Capital; ROAReturn on Assets; SG&A- Selling, General & Administrative Expenses; WACC- Weighted Average Cost of Capital Dividends on American Depository Receipts (ADRs) and American Depository Shares (ADSs) are net of taxes (paid in the country of origin).

555551-STARS (Strong Sell): Total return is


expected to underperform the total return of a relevant benchmark by a wide margin over the coming 12 months, with shares falling in price on an absolute basis. Relevant benchmarks: In North America the relevant benchmark is the S&P 500 Index, in Europe and in Asia, the relevant benchmarks are generally the S&P Europe 350 Index and the S&P Asia 50 Index. For All Regions: All of the views expressed in this research report accurately reflect the research analyst's personal views regarding any and all of the subject securities or issuers. No part of analyst compensation was, is, or will be directly or indirectly, related to the specific recommendations or views expressed in this research report. S&P Global Quantitative Recommendations Distribution In Europe: As of September 30, 2011, Standard & Poor's Quantitative Services Europe recommended 49.0% of issuers with buy recommendations, 17.0% with hold recommendations and 32.0% with sell recommendations. In Asia: As of September 30, 2011, Standard & Poor's Quantitative Services Asia recommended 48.4% of issuers with buy recommendations, 22.0% with hold recommendations and 30.0% with sell recommendations. Globally: As of September 30, 2011, Standard & Poor's Quantitative Services globally recommended 45.0% of issuers with buy recommendations, 20.0% with hold recommendations and 34.0% with sell recommendations. Additional information is available upon request.

and one of its affiliates is not a recommendation to buy, sell, or hold such investment or security, nor is it considered to be investment advice. Indexes are unmanaged, statistical composites and their returns do not include payment of any sales charges or fees an investor would pay to purchase the securities they represent. Such costs would lower performance. It is not possible to invest directly in an index. Standard & Poor's and its affiliates provide a wide range of services to, or relating to, many organizations, including issuers of securities, investment advisers, broker-dealers, investment banks, other financial institutions and financial intermediaries, and accordingly may receive fees or other economic benefits from those organizations, including organizations whose securities or services they may recommend, rate, include in model portfolios, evaluate or otherwise address. This company is not a customer of S&P or its affiliates.

Required Disclosures
In contrast to the qualitative STARS recommendations covered in this report, which are determined and assigned by S&P equity analysts, S&Ps quantitative evaluations are derived from S&Ps proprietary Fair Value quantitative model. In particular, the Fair Value Ranking methodology is a relative ranking methodology, whereas the STARS methodology is not. Because the Fair Value model and the STARS methodology reflect different criteria, assumptions and analytical methods, quantitative evaluations may at times differ from (or even contradict) an equity analysts STARS recommendations. As a quantitative model, Fair Value relies on history and consensus estimates and does not introduce an element of subjectivity as can be the case with equity analysts in assigning STARS recommendations. S&P Global STARS Distribution

Disclaimers
With respect to reports issued to clients in Japan and in the case of inconsistencies between the English and Japanese version of a report, the English version prevails. With respect to reports issued to clients in German and in the case of inconsistencies between the English and German version of a report, the English version prevails. Neither S&P nor its affiliates guarantee the accuracy of the translation. Assumptions, opinions and estimates constitute our judgment as of the date of this material and are subject to change without notice. Past performance is not necessarily indicative of future results.

Other Disclosures
In North America: As of September 30, 2011, research analysts at Standard & Poor's Equity Research Services North America recommended 42.2% of issuers with buy recommendations, 54.2% with hold recommendations and 3.6% with sell recommendations. In Europe: As of September 30, 2011, research analysts at Standard & Poor's Equity Research Services Europe recommended 34.4% of issuers with buy recommendations, 49.4% with hold recommendations and 16.2% with sell recommendations. In Asia: As of September 30, 2011, research analysts at Standard & Poor's Equity Research Services Asia recommended 48.4% of issuers with buy recommendations, 45.7% with hold recommendations and 5.9% with sell recommendations. Globally: As of September 30, 2011, research analysts at Standard & Poor's Equity Research Services globally recommended 41.5% of issuers with buy recommendations, 52.6% with hold recommendations and 5.9% with sell recommendations. This report has been prepared and issued by Standard & Poor's and/or one of its affiliates. In the United States, research reports are prepared by Standard & Poor's Investment Advisory Services LLC ("SPIAS"). In the United States, research reports are issued by Standard & Poor's ("S&P"); in the United Kingdom by McGraw-Hill Financial Research Europe Limited, which is authorized and regulated by the Financial Services Authority and trades as Standard & Poor's; in Hong Kong by Standard & Poor's Investment Advisory Services (HK) Limited, which is regulated by the Hong Kong Securities Futures Commission; in Singapore by Standard & Poor's LLC, which is regulated by the Monetary Authority of Singapore; in Malaysia by Standard & Poor's Malaysia Sdn Bhd ("S&PM"), which is regulated by the Securities Commission; in Australia by Standard & Poor's Information Services (Australia) Pty Ltd ("SPIS"), which is regulated by the Australian Securities & Investments Commission; and in Korea by SPIAS, which is also registered in Korea as a cross-border investment advisory company. The research and analytical services performed by SPIAS, McGraw-Hill Financial Research Europe Limited, S&PM, and SPIS are each conducted separately from any other analytical activity of Standard & Poor's. Standard & Poor's or an affiliate may license certain intellectual property or provide pricing or other services to, or otherwise have a financial interest in, certain issuers of securities, including exchange-traded investments whose investment objective is to substantially replicate the returns of a proprietary Standard & Poor's index, such as the S&P 500. In cases where Standard & Poor's or an affiliate is paid fees that are tied to the amount of assets that are invested in the fund or the volume of trading activity in the fund, investment in the fund will generally result in Standard & Poor's or an affiliate earning compensation in addition to the subscription fees or other compensation for services rendered by Standard & Poor's. A reference to a particular investment or security by Standard & Poor's

Standard & Poors, its affiliates, and any third-party providers, as well as their directors, officers, shareholders, employees, or agents (collectively S&P Parties) do not guarantee the accuracy, completeness or adequacy of this material, and S&P Parties shall have no liability for any errors, omissions, or interruptions therein, regardless of the cause, or for the results obtained from the use of the information provided by the S&P Parties. S&P PARTIES DISCLAIM ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY, SUITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. In no event shall S&P Parties be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs) in connection with any use of the information contained in this document even if advised of the possibility of such damages. Capital IQ is a business of Standard & Poor's.

55555 5-STARS (Strong Buy): Total return is


expected to outperform the total return of a relevant benchmark, by a wide margin over the coming 12 months, with shares rising in price on an absolute basis.

55555 4-STARS (Buy): Total return is expected to


outperform the total return of a relevant benchmark over the coming 12 months, with shares rising in price on an absolute basis.

55555 3-STARS (Hold): Total return is expected to


closely approximate the total return of a relevant benchmark over the coming 12 months, with shares generally rising in price on an absolute basis.

55555 2-STARS (Sell): Total return is expected to


underperform the total return of a relevant benchmark over the coming 12 months, and the share price not anticipated to show a gain.

Ratings from Standard & Poors Ratings Services are statements of opinion as of the date they are expressed and not statements of fact or recommendations to purchase, hold, or sell any securities or to make any investment decisions. Standard & Poors assumes no obligation to update its opinions following publication in any form or format. Standard & Poors ratings should not be relied on and are not substitutes for the skill, judgment and experience of the user, its management, employees, advisors and/or clients when making investment and other business decisions. Standard & Poors rating opinions do not address the suitability of any security. Standard & Poors does not act as a fiduciary. While Standard & Poors has obtained information from sources it believes to be reliable, Standard & Poors does not perform an audit and undertakes no duty of due diligence or independent verification of any information it receives.

Redistribution or reproduction is prohibited without written permission. Copyright 2011 Standard & Poor's Financial Services LLC. STANDARD & POORS, S&P, S&P 500, S&P Europe 350 and STARS are registered trademarks of Standard & Poors Financial Services LLC.

Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


Standard & Poors keeps certain activities of its business units separate from each other in order to preserve the independence and objectivity of their respective activities. As a result, certain business units of Standard & Poors may have information that is not available to other Standard & Poors business units. Standard & Poors has established policies and procedures to maintain the confidentiality of certain non-public information received in connection with each analytical process. objectives, financial situation or particular needs of any person in receipt of the recommendation, before the person makes a commitment to purchase the investment product. For residents of Malaysia - All queries in relation to this report should be referred to Ching Wah Tam. For residents of Indonesia - This research report does not constitute an offering document and it should not be construed as an offer of securities in Indonesia, and that any such securities will only be offered or sold through a financial institution. For residents of the Philippines - The securities being offered or sold have not been registered with the Securities and Exchange Commission under the Securities Regulation Code of the Philippines. Any future offer or sale thereof is subject to registration requirements under the Code unless such offer or sale qualifies as an exempt transaction. U.S. STARS Cumulative Model Performance Hypothetical Growth Due to Price Appreciation of $100 For the Period 12/31/1986 through 10/31/2011 made at the closing price of the day that the deletion is made. Performance was calculated from inception through March 31, 2003 on a monthly basis. Thereafter, performance is calculated daily. Equities in each STARS category will change over time, and some or all of the equities that received STARS rankings during the time period shown may not have maintained their STARS ranking during the entire period. The model performance does not consider taxes and brokerage commissions, nor does it reflect the deduction of any advisory or other fees charged by advisors or other parties that investors will incur when their accounts are managed in accordance with the models. The imposition of these fees and charges would cause actual performance to be lower than the performance shown. For example, if a model returned 10 percent on a $100,000 investment for a 12-month period (or $10,000) and an annual asset-based fee of 1.5 percent were imposed at the end of the period (or $1,650), the net return would be 8.35 percent (or $8,350) for the year. Over 3 years, an annual 1.5% fee taken at year end with an assumed 10% return per year would result in a cumulative gross return of 33.1%, a total fee of $5,375 and a cumulative net return of 27.2% (or $27,200). Fees deducted on a frequency other than annual would result in a different cumulative net return in the preceding example. The Standard & Poors 500 index is the benchmark for U.S. STARS. The S&P 500 index is calculated in U.S. dollars and does not take into account the reinvestment of dividends. Indexes are unmanaged, statistical composites and their returns do not include payment of any sales charges or fees an investor would pay to purchase the securities they represent. Such costs would lower performance. It is not possible to invest directly in an index. The S&P 500 index includes a different number of constituents and has different risk characteristics than the STARS equities. Some of the STARS equities may have been included in the S&P 500 index for some (but not necessarily all) of the period covered in the chart, and some such equities may not have been included at all. The S&P 500 excludes ADRs and ADSs. The methodology for calculating the return of the S&P 500 index differs from the methodology of calculating the return for STARS. Past performance of the S&P 500 index is no guarantee of future performance. An investment based upon the models should only be made after consulting with a financial advisor and with an understanding of the risks associated with any investment in securities, including, but not limited to, market risk, currency risk, political and credit risks, the risk of economic recession and the risk that issuers of securities or general stock market conditions may worsen, over time. Foreign investing involves certain risks, including currency fluctuations and controls, restrictions on foreign investments, less governmental supervision and regulation, less liquidity and the potential for market volatility and political instability. As with any investment, investment returns and principal value will fluctuate, so that when redeemed, an investors shares may be worth more or less than their original cost. For residents of Australia This report is distributed by Standard & Poors Information Services (Australia) Pty Ltd ("SPIS") in Australia. The entirety of this report is approved by Peter Willson, who has reviewed and authorised its content as at the date of publication. Any express or implied opinion contained in this report is limited to "General Advice" and based solely on consideration of the investment merits of the financial product(s) alone. The information in this report has not been prepared for use by retail investors and has been prepared without taking account of any particular person's financial or investment objectives, financial situation or needs. Before acting on any advice, any person using the advice should consider its

Standard & Poors Ratings Services did not participate in the development of this report. Standard & Poors may receive compensation for its ratings and certain credit-related analyses, normally from issuers or underwriters of securities or from obligors. Standard & Poors reserves the right to disseminate its opinions and analyses. Standard & Poors public ratings and analyses are made available on its Web sites, www.standardandpoors.com (free of charge), and www.ratingsdirect.com and www.globalcreditportal.com (subscription), and may be distributed through other means, including via Standard & Poors publications and third-party redistributors. Additional information about our ratings fees is available at www.standardandpoors.com/usratingsfees.

S&P 500 2,400

5 STARS

4 STARS

3 STARS

2 STARS

1 STARS

This material is not intended as an offer or solicitation for the purchase or sale of any security or other financial instrument. Securities, financial instruments or strategies mentioned herein may not be suitable for all investors. Any opinions expressed herein are given in good faith, are subject to change without notice, and are only current as of the stated date of their issue. Prices, values, or income from any securities or investments mentioned in this report may fall against the interests of the investor and the investor may get back less than the amount invested. Where an investment is described as being likely to yield income, please note that the amount of income that the investor will receive from such an investment may fluctuate. Where an investment or security is denominated in a different currency to the investors currency of reference, changes in rates of exchange may have an adverse effect on the value, price or income of or from that investment to the investor. The information contained in this report does not constitute advice on the tax consequences of making any particular investment decision. This material is not intended for any specific investor and does not take into account your particular investment objectives, financial situations or needs and is not intended as a recommendation of particular securities, financial instruments or strategies to you. Before acting on any recommendation in this material, you should consider whether it is suitable for your particular circumstances and, if necessary, seek professional advice.

1,600

800

0 '92 '94 '96 '98 '00 '02 '04 '06 '08 '10

This document does not constitute an offer of services in jurisdictions where Standard & Poors or its affiliates do not have the necessary licenses. For residents of the U.K. - This report is only directed at and should only be relied on by persons outside of the United Kingdom or persons who are inside the United Kingdom and who have professional experience in matters relating to investments or who are high net worth persons, as defined in Article 19(5) or Article 49(2) (a) to (d) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, respectively. For residents of Singapore - Anything herein that may be construed as a recommendation is intended for general circulation and does not take into account the specific investment objectives, financial situation or particular needs of any particular person. Advice should be sought from a financial adviser regarding the suitability of an investment, taking into account the specific investment

The performance above represents only the results of Standard & Poors model portfolios. Model performance has inherent limitations. Standard & Poors maintains the models and calculates the model performance shown, but does not manage actual assets. The U.S. STARS model performance chart is only an illustration of Standard & Poors (S&P) research; it shows how U.S. common stocks, ADRs (American Depositary Receipts) and ADSs (American Depositary Shares), collectively equities, that received particular STARS rankings performed. STARS categories are models only; they are not collective investment funds. The STARS performance does not show how any actual portfolio has performed. STARS model performance does not represent the results of actual trading of investor assets. Thus, the model performance shown does not reflect the impact that material economic and market factors might have had on decision-making if actual investor money had been managed. Performance is calculated using a time-weighted rate of return. While model performance for some or all STARS categories performed better than the S&P 500 for the period shown, the performance during any shorter period may not have, and there is no assurance that they will perform better than the S&P 500 in the future. STARS does not take into account any particular investment objective, financial situation or need and is not intended as an investment recommendation or strategy. Investments based on the STARS methodology may lose money. High returns are not necessarily the norm and there is no assurance that they can be sustained. Past model performance of STARS is no guarantee of future performance. For model performance calculation purposes, the equities within each STARS category at December 31, 1986 were equally weighted. Thereafter, additions to the composition of the equities in each STARS category are made at the average value of the STARS category at the preceding month end with no rebalancing. Deletions are

Redistribution or reproduction is prohibited without written permission. Copyright 2011 Standard & Poor's Financial Services LLC. STANDARD & POORS, S&P, S&P 500, S&P Europe 350 and STARS are registered trademarks of Standard & Poors Financial Services LLC.

Stock Report | November 19, 2011 | NNM Symbol: RIMM

Research In Motion Ltd


appropriateness having regard to their own or their clients' objectives, financial situation and needs. You should obtain a Product Disclosure Statement relating to the product and consider the statement before making any decision or recommendation about whether to acquire the product. Each opinion must be weighed solely as one factor in any investment decision made by or on behalf of any adviser and any such adviser must accordingly make their own assessment taking into account an individual's particular circumstances. SPIS holds an Australian Financial Services Licence Number 258896. Please refer to the SPIS Financial Services Guide for more information at www.fundsinsights.com.au.

Redistribution or reproduction is prohibited without written permission. Copyright 2011 Standard & Poor's Financial Services LLC. STANDARD & POORS, S&P, S&P 500, S&P Europe 350 and STARS are registered trademarks of Standard & Poors Financial Services LLC.

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