Palm, which blazed a trail with its Treo smart phone, is painting a disappointing quarterly outlook -- and urging investors to be patient as it strives to regain strong growth, even as rivals' stock prices reach trading highs amid their own robust sales.
For now, however, investors do not appear enthused: The handheld-device firm posted a first-quarter loss after market close Monday, and its shares dropped nearly 5 percent.
And on Tuesday, Palm shares trading on the Nasdaq lost 73 cents, or 4.56 percent, at $15.27.
In its first earnings report since it sold a 25% stake to private equity firm Elevation Partners, Palm said Treo sales were hurt by Apple'siPhone and other devices. The company also lowered guidance for the current quarter.
By comparison, BlackBerry maker Research in Motion has seen its stock more than double in price this year. And analysts expect a far rosier picture than Palm's, when RIM reports quarterly results Thursday.