Of all the stocks in the tech sector, RIM may be the name that confounds investors on almost a daily basis.
The company hasn't been getting a lot of love from the Street lately despite sales that are still growing at a rapid clip. Largely, that's because analysts expect the BlackBerry maker to lose market share to Apple and other rivals.
However, on Tuesday, RIM said its first tablet computer, the PlayBook, will go on sale April 19 at a base price of $499; that matches the pricing for Apple's latest iPad.
Advocates such as Fast trader Tim Seymour argue that BlackBerry has a loyal audience and they will embrace the Playbook.
With shares 5% higher over the last 3 months, how should you play RIM ahead of earnings Thursday?
What’s the trade?
Colin Gillis of BGC just can’t get behind RIM. Not only is he concerned about RIM losing US market share, he thinks low-cost Android handsets will present strong competition for RIM in overseas markets. And Gillis can’t imagine people buying a PlayBook when they can get the iPad for the same price. “This is a brand that’s in trouble,” he says.
Steve Cortes is on the other side. "The negatives are known and RIM is universally hated. The valuation with a single digit P/E intrigues me."