Thought of the day – When bad news is good news

The following paragraph caught my eye yesterday concerning the brand value of RIMM (maker of the blackberry) – 

“RIMM plummets to near bottom of global brand list. Interbrand said Tuesday that Research In Motion’s BlackBerry is now 93rd on its list of 100 most valuable global brands, down from 56th in 2011. It put the brand’s value at $3.9 billion, down 39 per cent from a year ago.”

Quick calculations show that if the brand value is $3.9bn and the cash is $2.3bn giving a total value of $6.2bn and which EXCLUDES any value to the fixed assets, inventory and IP (valued alone at upto $3bn) then the current market cap of RIMM of $4.2bn is 50% too low just on this measure…

Sometimes the market continues to leave the sweetie jar open….