Nokia Tumbles Pre-Earnings; Estimates Falling

Eric Savitz — Wed, 21 Jan 2009 00:48:31 +0000

Nokia (NOK) shares are sagging badly ahead of the company’s fourth-quarter earnings report due Thursday morning.

Credit Suisse analyst Kulbinder Garcha this morning cut his 2009 handset industry sell-in forecast to down 10 percent, from down six percent previously. Citing expectations of continued inventory reductions in the industry, he cut his 2009 EPS estimate to 74 euro cents, from 87 cents. For Q4, he now sees the industry selling 319 million units, flat sequentially, but up 10 percent year over year. He expects Nokia’s unit sales in the quarter to be 115 million units, down two percent sequentially and down 14 percent year over year. For the quarter, he sees Nokia posting revenue of 12.9 billion euros and profits of 25 euro cents a share, below the Street at 13 billion and 27 euro cents. Garcha also cut his estimates on Ericsson (ERIC), citing his reduced handset forecast.

Read the rest of this post

RIMM: Credit Suisse Contends FY 2010 Estimates Too High

Eric Savitz — Fri, 01 Aug 2008 22:17:57 +0000

Back on June 26, Credit Suisse analyst Kulbinder Garcha picked up coverage of Research In Motion (RIMM) with an Underperform rating, setting a $100 price target. So far, he’s looking like a genius: RIMM shares are since down 16 percent. His view was that RIMM’s EPS momentum is poised to slow over the next 12 months due to loss of market share in North America and pressures on gross margin. In particular, he asserted that the company was likely to lose share to Apple (AAPL) and AT&T (T) with the introduction of the iPhone 3G. Garcha set EPS estimates of $3.56 for the Feb. 2009 fiscal year, and $4.54 for FY 2010, below the Street at $3.81 and $5.41.

Read the rest of this post

AllThingsD » Kulbinder Garcha

Nokia Tumbles Pre-Earnings; Estimates Falling

RIMM: Credit Suisse Contends FY 2010 Estimates Too High