ThinkEquity Raising RIMM Price Target to $120

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Think Equity has raised its price rating for RIMM after the $450 million settlement with NTP. They are raising their buy target rating to $120 from $100.

We are reiterating our BUY rating and raising our price target to $120. The settlement with NTP now removes any uncertainty in the stock and more importantly, removes the patent litigation expense from our model going forward. We believe that the resolution of the NTP issue will result in a flood of new Blackberry Connect devices into the U.S. and will substantially expand the device portfolio that supports the Blackberry service. We view the competitive threats posed by companies such as Good Technology and Microsoft as nominal at best and continue to believe that RIMM will remain the undisputed leader in this space for several years. With that said, we believe there remains substantial upside to RIMM earnings and its stock in coming quarters and we are reiterating our BUY rating at these levels.

Thanks to Brian for the tip …