Research in Motion Isn't Dead

With the ascent of the Apple iPad,many have abandoned Research in Motion as hopelessly behind in the telecom space.We've seen a total catharsis of the stock,says analyst Kevin Smithen of the Macquarie Group.The sentiment has never been worse.Yet its international business grew 68% year over year and has never been healthier.
The Chinese,Asian and European markets are largely prepaid.RIM is more competitive in those markets.Foreign carriers do not have the spectrum the U.S. does.
We're frankly perplexed at the valuation at a multiple typically reserved for companies that are highly leveraged and cyclical at the trough of the cycle.We rate the stock as an outperform.
We're not optimistic about their hope for the U.S. consumer business,but our 12 month price target for the stock is 40.00.They have tremendous Blackberry momentum in Indonesia and Thailand.We think it's the product of choice in those areas,Mr.Smithen noted.
Macquarie Group,Ltd. is a full service financial firm operating in 28 countries.It cites its expertise,performance and growth as strong points for its global clientele and investors.The Australia-based company has 320 billion dollars U.S. under management.
Research in Motion(RIMM),Apple(AAPL),Macquarie Group,Ltd.(MQG)

Ford Gets In Sync

Ford Motor Company(F) is expanding in Southeast Asia.It is building a plant in Thailand with its Mazda affiliate.The factory will produce 100,000 small cars a year.The 2008 Ford Focus,the automaker's smallest car,has received good marks for being predictable and steady on the road,with more comfortable front seats and a 3% more powerful engine than in previous versions.It is perhaps most remarkable for its debut of the Sync voice control system.Designed by Microsoft(MSFT),this voice-activated feature reads text messages to you from Blackberries and other devices while you are driving.The Sync system has received a Breakthrough Award from Popular Mechanics for setting benchmarks in design,creativity and engineering.Talks between Ford and the United Auto Workers union are in high gear,now that the UAW has reached agreements with General Motors and Chrysler.Because Ford carries a lot of debt and isn't as far along in its restructuring as GM and Chrysler,talks could be more difficult.As well,CEO Alan Mulally has a reputation for toughness,having endured a 28 day strike while he was working at Boeing(BA).Ford intends to sell its luxury brands in the next two months,and has hired away a marketing executive from Toyota Motors(TM).Having had a big loss in '06 and the worst sales decline among US automakers in '07,the old line company needs every leg up it can lift.Ford shares have been sparked by the UAW accords with the other automakers,while Microsoft shares have been bolstered by its global business and success with electronic games.Both stocks were trading up this morning.