) to strong buy from buy.
Analyst Scott Searle says the recent Nokia cross-licensing agrement solidifies the company's long-term royalty mode and position in 3G. Consequently, there's an addressable market opportunity to increase from 12-15% in 2G to 90%+ in 3G. New product cycles with data, location and multimedia should provide an uptick by the December quarter, Searle says.
Based on the global slowdown, excess channel inventory and the timing of rollouts, Searle sees $1.01 fiscal 2001 (Sept.) EPS vs. the previous estimate of $1.05, and $1.24 fiscal 2002 EPS vs. the previous estimate of $1.36.
Searle initiated a $1.90 calendar 2003 EPS estimate and set a $114 18-month target.