03/28/2008 02:45 am ET | Updated May 25, 2011

Recession Could Crush Palm, Hurt RIM, Ding Motorola: Citi

We already know that the softening U.S. economy has affected telecom carriers AT&T and Comcast. How about cellphone makers? Yep, they're at risk too.

In a note today, Citi analyst Jim Suva runs a recession scenario through his models for Research In Motion (RIMM), Palm (PALM), and Motorola (MOT). His conclusion: The companies with the most business in North America will get hit hardest.

* A recession is awful news for Palm, which is most dependent on U.S. sales. Jim redicts Palm shares could trade down to the $3 to $4 range, down as much as 33% from its current price of $6.

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