RIM Too Expensive

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Standard & Poor’s Equity Research said a buyout of Research In Motionis “unlikely,” citing the company’s $14 billion market capitalization and “a rich valuation relative to peers.” A recent report had suggested the maker of the handheld BlackBerry device would be acquired. S&P Equity Research lowered the 12-month target price to $78 from $85, “to reflect our more cautious view,” although the research firm acknowledged Research In Motion “is growing faster than its peers.” The firm said, “Potential legal settlements may impair future cash flow and earnings per share, but given that Research In Motion is growing faster than peers, we would hold the shares.