The RIMM conundrum

Depending on who you believe, a great company like Research in Motion is simply back to a more realistic valuation or is being held hostage by institutions. RIMM hit a mid-day low of 104.49 today, far off its all-time high of 133 on Nov. 7. The high was more than a double from its Aug. 16 low of 61. Gray-area watchers would place RIMM's value somewhere in-between, which is why 104, or the current 105.81 (11:30 am EST) seems fair in some respects.

But even at 105, RIMM is 21% off its high. RIMM has all the earmarks of a great growth stock. But if it's true that at least one instiution is still unloading stocks to pay its investors, it seems obvious that RIMM is one of those stocks. While Apple (+1.1%), Baidu (+0.5%) and solar stocks like First Solar (+3.3%) are holding their ground today, RIMM is down 4% on no news.

I scooped up more shares of RIMM at 105.50 today, but there seems to be no sustainable momentum against the trend. But when the dumping is done, I expect a whole lot of buying on RIMM at these relatively cheap prices. My guess is Monday morning.