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RIM Shares Soar 10% as Apple Stumbles on iPhone

Thursday, 24 Jan 2013 11:13 PM

 

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Shares of Research In Motion Ltd., the maker of the BlackBerry smartphone, reached their highest level in almost a year Monday amid signs that demand for Apple Inc.’s market-leading iPhone is ebbing.

RIM’s stock rose 10 percent to $14.95 in New York, following a 14 percent gain on Friday. Shares of the Waterloo, Ontario-based company climbed to $15.09 earlier in Monday’s session, its highest intraday price since Feb. 22.

Apple reduced its orders for iPhone 5 screens this quarter, Japan’s Nikkei newspaper reported Monday, signaling that demand is slowing. After years of losing market share, RIM is counting on its new BlackBerry 10 lineup to win back customers from Apple and Google Inc.’s Android. The company plans to unveil the phones on Jan. 30, before they go on sale in February and March.

RIM’s stock has more than doubled since late September, fueled by optimism that the struggling company can build a comeback around BlackBerry 10. Sprint Nextel Corp. reiterated its support for the BlackBerry last week at the Consumer Electronics Show, ensuring that all of the largest U.S. carriers will offer the new phones.

Apple shares fell 3.6 percent to end at $501.75, after trading as low as $498.51 during the day.

© Copyright 2013 Bloomberg News. All rights reserved.

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