This week we are picking Research in Motion (RIMM) as a stock pick we believe is bound to do well in the bullish economic period we expect ahead of us. The famous BlackBerry maker has been held down near it’s lowest level since early April of this year. From April 6th to November 20th of this year RIMM shares have put up a mediocre .73% gain. Over this same period the Nasdaq has posted a 32% gain. The biggest reason for this extreme underperformance in RIMM shares was a bad earnings report that took $15 or 18% of the stock in one day. From this report several downgrades have flowed out of major analyst companies suppressing the companies stock price even further. Despite the negativity of many analysts, we believe RIMM shares are extremely undervalued and are poised for a run up to at least $70 by the end of this year. Shares of the company closed Friday’s trading session at $59.72. The recent recovery led to overly high expectations for its earnings report, but we believe that now that expectations are reasonable again, the stock will over perform. The smart phone market in which RIMM is a major player, is one market that has continued to grow despite the recession. This should be reflected in the company’s next earnings report which should help the company shares rebound. The stock has great fundamentals and is extremely undervalued due to a slew of unnecessary and unreasonable downgrades; thus, Fiscal Frenzy expects Research in Motion shares to rise sharply and strongly recommends it.




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