December 9, 2004
SpeculatingStocks.com Stock Pick: palmOne, Inc. (PLMO)
Stock Price: $38.13 (short-term strong buy)
palmOne, Inc. formerly known as Palm, Inc. is a developer, designer, and marketer of Palm-branded hand-held devices and accessories. Palm, Inc. combined the assets of Handspring, Inc. (HAND) and Palm hardware division to form palmOne, Inc. (PLMO). The software division of Palm containing the operating system was spun-off into PalmSource, Inc. (PSRC).
PLMO is beginning to run higher again after dropping to $35. We believe if PLMO can break $42.00 then there will be very little resistance to stop it from going higher. Earnings will be the next catalyst when they come out on December 16th.
PalmSource just announced today that they plan to acquire China MobileSoft. This should allow both palm company's to expand into China. China is always a major catalyst.
SpeculatingStocks.com Target Price: We expect PLMO to at least hit $45.00 by the end of the year. There is little downside risk from this level.