Please ensure Javascript is enabled for purposes of website accessibility

BlackBerry Disputes Reports of High Z10 Return Rates

By Evan Niu, CFA - Apr 12, 2013 at 11:24AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Calls for SEC and Canada authorities to investigate the report from research and investment firm.

Shares of BlackBerry (BB 2.96%) fell 8% yesterday following reports that the company's new Z10 flagship smartphone was seeing unusually high return rates. The company fired back this morning, disputing the findings of an investment firm's report and saying it would seek an SEC review of the report.

The Wall Street Journal on Thursday cited a report from Detwiler Fenton that claimed that Z10 returns were outnumbering sales in the U.S., a scenario that Detwiler has "never seen before." The WSJ also noted a separate report from ITG saying that the Z10 launch began poorly and has "weakened significantly." The Z10 launched in the U.S. in late March.

BlackBerry issued a press release today disputing what it calls "false reports on return rates." The company is requesting that regulators in both the U.S. and Canada investigate the "false and misleading report" about retail return rates, saying that sales of the Z10 are meeting expectations. CEO Thorsten Heins said retail and carrier data show that customers are satisfied with the Z10, and return rates are at or below its forecasts and in line with the broader industry.

The company said that Detwiler Fenton would not share its report or methodology with BlackBerry, even after the smartphone maker disputed the findings.

link

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

BlackBerry Stock Quote
BlackBerry
BB
$5.91 (2.96%) $0.17

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
322%
 
S&P 500 Returns
116%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/25/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.