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BlackBerry to cut production by 10% as phone sales stall

August 20, 2013 by Kelly Hodgkins - 1 Comment

BlackBerry to go private?
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Jefferies’ Peter Misek has been optimistic about BlackBerry in the past, but his rosy outlook may be starting to fade. According to a report in Ubergizmo, Misek is lowering his quarterly shipment estimates for BlackBerry based on checks that show build order plans were cut by 10% in the month of August.

Misek writes “we believe the build plan cut indicates sell-through is tracking well below $3.1B revenue estimate [for the quarter].” He adds that checks on Canadian stores reveal a “slow start” for the Q5 and price cuts for the Q10. As a result, Misek lowered his stock price target to $18, a $3 drop and trimmed his handset shipping estimate from 5.5 million units to 5 million units (2.5M to 2.0M for BB10 phones).

[Via Ubergizmo and Barrons]

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