The market may be down, but things are looking up at Palm. Morgan Joseph & Co. Inc., a full service investment-banking firm dedicated to serving middle market companies, has initiated coverage on Palm (Nasdaq: PALM) with a Buy. They set the price target $10.

Per a story appearing at Streetinsider.com, an unnamed analyst at Morgan Joseph remarked:

"Smartphones now address a completely new demographic: the mass market. In keeping with Moore's law, evolving technology affords pushing applications previously enjoyed on high-end devices to a wider segment of the cell phone market. Sell-through rates of Palm's Centro device, now available at all three major U.S. operators at a $99 price point, helped drive sales of 3.2mm units, up 19% Y-Y in FY08, which we believe clearly demonstrates broad-based demand...Relative valuation measures show a depressed share price, but this is not the cornerstone of our Buy rating. We believe demonstrated improved financial metrics should easily drive expanding valuation multiples for PALM shares."

PALM is up 2.19% mid-day, $7.45 a share.

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