Palm Shares Rise, Analyst Suggests Takeover Possibility

Palm shares surged today on comments by Jonathon Goldberg, an analyst for Deutsche Bank. Goldberg raised his target price for the stock citing strong potential for webOS devices and a “takeover possibility“. From what’s been reported, there is absolutely no evidence that a takeover will happen in the foreseeable future. Goldberg simply believes the company is “a potential target” for a larger company (Dell, Nokia) looking to break in or expand their presence in the mobile market.“As the only standalone entity, we think there is a real potential for Palm to be acquired in the next two years,” Goldberg wrote.

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“We think Palm has created a valuable asset in its webOS. If they can grow their installed base of users and keep the carrier momentum going, this value should become more apparent,” continued Goldberg.

As for device sales, Goldberg believes Palm can sell 600,000 units into Verizon in this quarter alone. He also speculates the Palm’s App Catalog could outpace RIM and Android by the end of this year.

[via WSJ]