Motorola, Inc. (MOT)
While we maintain our Sell rating for Motorola (<a href=http://www.zacks.com/stock/quote/mot>MOT</a>), we have adjusted our valuation target higher based on current market conditions. MOT is a leading manufacturer of mobile handsets, network infrastructure, and cable products. <p> Revenue in the last reported quarter was significantly below our estimates due to continued weakness of the mobile handset sales. We are not convinced that a turnaround will take place without a major restructuring initiative as the company is exposed to lingering economic headwinds, lower overall worldwide demand for its handsets, a lack of high-end competitive PDA wireless devices, and reduced visibility for near-term revenue improvement. <p> However, stringent cost control measures taken by the management and development of new smart-phone devices are some initial positive indicators that will be monitored for longer-term rating consideration.
May 27, 2009 | Filed Under Stocks to Sell
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