“Palm is essentially an accelerating death spiral”… analysts target shares to hit $0.00

John Connors

March 20, 2010 2:24pm

Interesting article on the future of Palm from CNN Money. “Shares of Palm plunged 19% to $4.59 a share early Friday, a new 52-week low. Investors are becoming increasingly pessimistic about the company’s future and several analysts downgraded their positions on the stock to “sell.” Two analysts even lowered their price targets to $0… Morgan Joseph & Co. analyst Ilya Grozovsky, one of the two analysts to cut its price target on Palm shares to $0, said “Palm is essentially an accelerating death spiral.”

The other analyst is Peter Misek from Canaccord Adams who said that Palm only has enough money to last them 12 more months. Misek stated “Palm’s troubles will only accelerate as carriers and suppliers increasingly question the company’s solvency and withdraw their support.”

More here at CNN Money
Via: Crunch Gear

  • David M

    Maybe they shouldn’t have made an ultra modern smartphone CDMA…
    Just a thought, but seems like a no-brainer to me.

  • Frederic

    They can do it. Their OS is a killer. Apple did it before.

    Only they’ll have to release the da*mn phone to other carriers than Bell and Verizon someday.

    What takes them so long ?

  • Colin

    They need to quit the exclusivity to one carrier bull and start makng their phones one every carrier

  • Arshad

    You guys have to remember that still have 1.5million units to clear out of their wearhouse before they can start making GSM or HSPA version of these great phones. They even halted their manufacturing until all that is cleared out, and apparently that’s 6-month’s worth of inventory.

    So we won’t be seeing an HPSA or GSM version of this phone for a very very VERY long time. Let’s just hope Palm lasts that long to see the day when they are able to release them in those version.

    Palm tried an Apple move with the exclusive operators but forgot to take into consideration that Apple had the App store to back them up, and were proactive about it, where Palm’s got nothing in their ‘market’ that shows Palm is serious about their phone anymore.

  • cass_m

    This is so sad.