Motorola Inc. CFO Tom Meredith told a Lehman Brothers investor conference this morning that the company would meet its guidance for the fourth quarter, sending the handset maker’s stock up more than 3% to $16.15 per share by midday.
Meredith acknowledged that the recent news of CEO Ed Zander’s departure from his post at month’s end had raised concerns that the company would miss its financial targets for the quarter.
Zander’s announcement was followed Monday by news that CTO Padmasree Warrior had stepped aside as well; she is taking a similar post at Cisco Systems.
Meredith told investors, according to media reports, that Moto would earn 12 cents to 14 cents per share and show sequential improvements in both revenue and profit. That could mean the company’s performance has bottomed out and is on the rise again.
Motorola’s bump in value today may also have reflected a rumor reported by The Financial Times that Dell Inc. might attempt to purchase Motorola’s handset division.
Nokia in pursuit
Meanwhile, at Nokia World in Amsterdam, CEO Olli-Pekka Kallasvuo said that Nokia Corp. was focused on retaking its former position as the leading handset vendor in the United States and attaining or surpassing 40% market share globally, according to reports. Nokia now holds 39% global market share, according to Strategy Analytics.
Motorola is the current leader in U.S. market share.
Moto to hit financial targets: Relief sends up stock price
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