PalmOne (PLMO)

HenryTo · Posted: Mon Jan 24, 2005 10:23 pm Post subject: PalmOne (PLMO)

PLMO falls >10% on news of the CEO's resignation:

http://news.ft.com/cms/s/9fc8d0cc-6e56-11d9-a60a-00000e2511c8.html?referrer_id=yahoo&ft_ref=yahoo1&segid=03058

PLMO is one of Motley's picks for 2005, I believe.

HenryTo · Posted: Fri Mar 18, 2005 8:41 am Post subject: S&P Reiterates a "Hold" Rating

PLMO just reported earnings in line with expectations but their outlook seems to be disappointing. The stock is off >7% this morning but it was down as much as 20% last night.
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Standard & Poor's Equity Research reiterated a "hold" rating on palmOne (nasdaq: PLMO - news - people ) after the company reported third-quarter earnings in line with the research firm's expectations. S&P Equity Research noted that research and development expenses in the quarter rose and may be related to improving customization efforts of the new Treo 650 for carriers. The firm said the resultant product delays could cause fiscal fourth-quarater (ending May) revenue to fall about $20 million below its view. S&P Equity Research cut the fourth-quarter earnings estimate to $1.45 per share from $1.65. "While Treo's delay is a concern, underlying demand appears strong to us and, with palmOne trading below peer average on price/sales and price/book metrics, we view [shares] as worth holding," S&P Equity Research said.

HenryTo · Posted: Tue Jan 25, 2005 9:43 pm Post subject: latest from Fool

Latest (bearish article) from the Motley Fool on PLMO:

http://biz.yahoo.com/fool/050125/1106675880_1.html

More upbeat articles from a week ago:

http://www.fool.com/News/mft/2005/mft05011819.htm?logvisit=y&source=eptyholnk403200

How the Treo would do over the long-run (and how the company will fare with a new CEO) is anybody's guess but right now, valuation for PLMO looks attractive to me. It may be a good buy here as long as the market doesn't fall apart.