HTC beats estimated earnings for the first quarter, more growth to come
There is no denying that HTC is the hottest handset manufacturer on the globe at this moment. The Taiwanese based company has recently launched its Windows Mobile superstar HD2 in the U.S. and the Android powered Nexus One is about to launch a CDMA variant in the States for Verizon. Speaking of Big Red, the HTC Incredible is coming shortly. Overseas, the Desire is now out and we all have drooled over the HTC EVO 4G. Even without the full impact of all the recently launched and soon to be released models, the company reported earnings for the first quarter that exceeded estimates. While revenue increased 19% year over year for the three months, profits came in at NT$6.42 per share. That figure far surpassed the NT$5 to NT$5.50 per share that brokers had been expecting. As a result, Goldman Sachs reiterated its "buy" rating on the stock, while Morgan Stanley increased its target price. BNP Paribas Securities raised the number of units it expects HTC to sell this year from 14.5 million to 15.8 million phones. For 2011, the brokerage firm looks for HTC to ship 21.9 million handsets, up sharply from the previous estimate of 17.9 million.