The analyst, Jonathan Goldberg, maintained his "Buy" rating and $125 price target on Garmin’s shares and said the Cayman Islands-based company will find a way to compete – even with the $8.1 billion Nokia Corp. (NOK) purchase of Navteq. It might have to make a run of its own for Navteq, bid for Navteq industry rival Tele Atlas NV, build a mapping network of its own, or just deal with Navteq through Nokia.
The Finland-based Nokia is the world’s No. 1 cell phone company.

Goldberg said all four options are acceptable, because Garmin has contracts with Navteq through 2009. Besides, Garmin is Navteq’s No. 1 customer, and Nokia may want to keep that revenue stream, Goldberg contends.

Garmin’s shares jumped $4.43 each, or 4.59%, yesterday to close at $100.95. The shares are down about 20% since Monday, when the Nokia-Navteq deal was announced.

News and Related Story Links:

• Money Morning News Analysis:
  Savaged Garmin Battles Back With Cell Phone Navigation Software.

• Forbes.com:
  Garmin Rebounds.
• Money Morning News:
  
  Nokia Announces $8.1 Billion Acquisition of Navteq.

• Information Week:
  
  Garmin’s New Device Turns Smart Phones into GPS Devices.