Advertisement
YOU ARE HERE: LAT HomeCollectionsBlackberry

BlackBerry stock falls after Goldman downgrade, 'tepid' Z10 sales

March 25, 2013|By Stuart Pfeifer
  • BlackBerry shares tumbled after a downgrade by Goldman Sachs.
BlackBerry shares tumbled after a downgrade by Goldman Sachs. (Kevork Djansezian / AFP…)

It has a new phone, new technology, even a new stock ticker symbol. But the blows keep coming for BlackBerry.

The smartphone maker’s stock price tumbled Monday after Goldman Sachs Group Inc. cut its rating on the  company, citing an underwhelming debut of the new BlackBerry Z10 mobile phone.

BlackBerry shares were down about 4% in early trading Monday, after falling nearly 8% on Friday. Before the two-day decline, optimism about the company’s new phone had driven its shares up 36% for the year.

The sleek  Z10 went on sale last week in the United States, almost two months after it debuted in the United Kingdom and Canada. Goldman has not been impressed with early sales.

“Our retail checks at over 20 store locations since March 22, including at AT&T, Best Buy and RadioShack, revealed a surprising lack of marketing support and poor positioning of the product,” Goldman analyst Simona Jankowski said in a research report. “We also saw limited advertising around the launch.”

She had one word to describe sales of the new BlackBerry: “tepid.”

Jankowski downgraded the stock to neutral.

ALSO:

'Star Trek' training video a mistake, IRS says

Broadcom wins regardless of tech battle's outcome

Nasdaq's $62-million payout for Facebook IPO approved

Follow Stuart Pfeifer on Twitter

Advertisement
Los Angeles Times Articles
|
|
|