I’ve been investing on-and-off from my freshman days in high school to the present, and I have never seen a shorting opportunity so vivid and clear as I do right now. Short RIMM. Short it hard. I don’t care if the stock came up for air today as the new Blackberry Torch’s price got halved. Blackberry as we know it is dead.
I’ve always thought you could trade on the fundamentals, price history, P/E ratio, and earning history of a stock and do as well if not better than the market indices. After reading Jim Cramer’s ‘Confessions of a Street Addict’, I discovered that the big money was made when you could tap into the knowledge of someone who had an insider’s look at the market, an industry, or a particular stock.
Working in the epicenter of the burgeoning mobile location industry, I am quite familiar with the various handset manufacturers and development platforms. Everyone is developing on iPhone and Android because the available handsets with these platforms make apps look gorgeous. Blackberry hasn’t been able to buck up with a handset that looks as slick as the Droid X or iPhone or released a phone with processing speed equivalent to the Evo or iPhone 4. For such a major player in the mobile market, their inability to release a competitive offering is embarrassing.
Blackberry’s latest marketing campaign, focusing on the ‘awesomeness’ of the BBM (Blackberry Messenger) is weak…real weak.
The Blackberry BBM campaign is the equivalent of AOL running an ad campaign about the IM (Instant Messenger). Sorry Blackberry, AOL couldn’t keep users’ attention with IM and you won’t be able to stem the flow of Crackberry users to better platforms by dangling the antiquated BBM in front of their face. If anything, this campaign is a defensive move rather than an offensive move. Why not just send a text message? A Tweet?
Blackberry can do nothing to justify their fat $28 billion valuation. All Blackberry can do is weep softly to themselves as their stock price begins to resemble a black diamond at Whistler.