"We are initiating coverage of Handspring with a Strong Buy rating and a target price of $90 per share, which is based on a 17 times multiple of calendar 2001 revenues of $507 million," said May. "We believe the company has positioned itself as the innovative leader of PDAs and handheld devices. In addition, Handspring has strategically positioned its product line to exploit a market that we believe is going to witness incredible growth over the next three to five years."