Inventory Pile-up Adds to RIM’s Collapse

Analysts predict continuing woes at Research in Motion (NASDAQ:RIMM), this time coming in the shape of a probable inventory pile up of Blackberry devices in its sales channels during the third quarter.

According to Morgan Stanley analyst Ehud Gelblum, the company sold only about 11 million smartphones in the third quarter whereas it shipped about 14.1 million, leaving likely channel inventories at 3.1 million. This is much higher than last year’s channel inventory at 1.9 million. Worse, for the fourth quarter, whereas estimates on the Street place smartphone shipments at 13.1 million, Gelblum expects that RIM will only manage 11.1-12.7 million.

Coming on top of the company’s recent warning about a $485 million charge relating to PlayBook inventory, these projections do not bode well for RIM’s prospects.

Here’s how smartphone makers are trading on RIM’s woes:

Research In Motion Limited (NASDAQ:RIMM): RIMM shares recently traded at $15.05, down $0.03, or 0.2%. They have traded in a 52-week range of $14.80 to $70.54. Volume today was 6,550,401 shares versus a 3-month average volume of 22,866,000 shares. The company’s trailing P/E is 2.75, while trailing earnings are $5.48 per share. Get the most recent company news and stock data here >>

Apple Inc. (NASDAQ:AAPL): AAPL shares recently traded at $379.72, down $0.47, or 0.12%. They have traded in a 52-week range of $310.50 to $426.70. Volume today was 3,124,871 shares versus a 3-month average volume of 18,665,400 shares. The company’s trailing P/E is 13.72, while trailing earnings are $27.68 per share. Get the most recent company news and stock data here >>

Nokia Corporation (NYSE:NOK): NOK shares recently traded at $4.87, down $0.15, or 2.99%. They have traded in a 52-week range of $4.82 to $11.75. Volume today was 10,139,924 shares versus a 3-month average volume of 29,069,600 shares. The company’s trailing P/E is 20.73, while trailing earnings are $0.24 per share. Get the most recent company news and stock data here >>

Microsoft Corporation (NASDAQ:MSFT): MSFT shares recently traded at $25.64, up $0.05, or 0.2%. They have traded in a 52-week range of $23.65 to $29.46. Volume today was 11,067,230 shares versus a 3-month average volume of 55,692,500 shares. The company’s trailing P/E is 9.32, while trailing earnings are $2.75 per share. Get the most recent company news and stock data here >>

Google Inc. (NASDAQ:GOOG): GOOG shares recently traded at $619.41, up $1.34, or 0.22%. They have traded in a 52-week range of $433.63 to $642.96. Volume today was 817,003 shares versus a 3-month average volume of 2,783,560 shares. The company’s trailing P/E is 21.11, while trailing earnings are $29.34 per share. Get the most recent company news and stock data here >>