Investment news site Covert Stock Operations speculates that Palm, of Treo fame, may be bought by BlackBerry-maker Research In Motion- and the announcement could come with Thursday afternoon's quarterly earnings conference call.
Covert Stock Operations doesn't claim any concrete evidence, but more a convergence of circumstances that the unbylined writer indicates a merger is imminent.
"The 80+% of PALM that is held by institutions have been pressuring PALM to take a buyout," the author writes. A buyout is in the works. RIMM is the most likely candidate, as they need PALM to survive. The writer is one of those who views the Blackberry Connect on a Treo deal as an indication of weakness on RIM's part.
Then the blogger notes that because RIMM scheduled their quarterly conference call to coincide with PALM's (both at market close this Thursday) a joint announcement of this merger, is the real reason behind this apparent scheduling snafu.
"And to add fuel to the speculative fire," the writer adds. "Both companies had their CFOs at the Piper Jaffray 8th Annual Hardware & Communications Conference on May 11th. Could it be that they had some final numbers to work out?
My take? True there are some dots, but they don't seem to really connect. There is a difference between circumstantial evidence and robust clues. People such as me get paid to know, and tell, the difference.
1. "People such as me get paid to know, and tell, the difference"
Great to see you putting your reputation on the line, though I dare say you're right ;-) Will be interersting to watch Palm and RIM stock between now and Thurs if this rumour takes hold...
Posted at 9:34AM on Jun 26th 2006 by Wibbly