Research In Motion Ltd (NASDAQ:BBRY) (TSE:BB) BlackBerry Z10 is selling better than expected so far. The new BlackBerry models were launched in Canada on Tuesday, and analysts at TD Securities ran some checks on sales. They said that both retail and store checks were “more positive” than they expected them to be.
The analysts reported 38 “meaningful conversations,” with 21 of them being with Toronto-area retailers, seven being with Montreal-area retailers and the rest in several other major cities across the nation. They said store owners said traffic was “at least moderate,” and many stores actually sold out of their stock of the BlackBerry Z10. The analysts found that initial availability of Research In Motion Ltd (NASDAQ:BBRY) (TSE:BB) new BlackBerry Z10 was between five and ten handsets up to 20 to 30 for larger urban stores.
TD Securities analysts said the most positive aspect taken away from their checks were that not all sales were to current BlackBerry users. Many of those who purchased the new BlackBerry Z10 were iOS or Android users.
The analysts added that the Canadian market might not be the best indicator of Research In Motion Ltd (NASDAQ:BBRY) (TSE:BB)’s success just yet because the company is, after all, a Canadian company. However, the momentum is important for a company that has been struggling to survive in recent years.
One of the biggest problems the analysts noticed in their research was the fact that many of the most popular apps that were supposed to be available on the BlackBerry Z10 are not yet available. They also question the company’s earnings power because of declining service fees. Thus TD Securities analysts have maintained their Neutral rating on the company’s stock and set their target price at $17 per share.
Shares of Research In Motion Ltd (NASDAQ:BBRY) (TSE:BB) rose 2 percent in Wednesday morning trading in New York.