BlackBerry (NYSE:BB) Stock Rating Lowered by Zacks Investment Research

BlackBerry (NYSE:BB) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Tuesday, Zacks.com reports. They currently have a $9.75 price objective on the stock. Zacks Investment Research‘s price objective would suggest a potential upside of 9.43% from the stock’s current price.

According to Zacks, “BlackBerry reported lackluster fourth-quarter fiscal 2021 results with the bottom line matching the Zacks Consensus Estimate despite year-over-year lower revenues due to a challenging macroeconomic environment. The company continues to invest in product development and go-to-market strategy including strong channel partnerships to drive long-term sustainable growth. Its Spark business is witnessing strong demand. QNX design wins and significant partnerships like that with Baidu bode well. However, the company is facing macro headwinds in the auto and other embedded sectors. High research and development expenses for product introductions and technological obsolescence are major woes too. With increasing global exposure, BlackBerry is also susceptible to the risk of adverse foreign currency exchange rate fluctuations.”

Several other research firms also recently weighed in on BB. Scotiabank downgraded BlackBerry from a “sector perform” rating to a “sector underperform” rating in a research report on Wednesday, January 27th. TD Securities boosted their target price on BlackBerry from $5.50 to $8.50 and gave the company a “hold” rating in a research report on Friday, December 18th. Royal Bank of Canada downgraded BlackBerry from a “sector perform” rating to an “underperform” rating and set a $7.50 target price on the stock. in a research report on Tuesday, January 26th. Raymond James boosted their target price on BlackBerry from $8.00 to $9.50 and gave the company a “market perform” rating in a research report on Wednesday, March 31st. Finally, Canaccord Genuity raised BlackBerry from a “sell” rating to a “hold” rating and cut their target price for the company from $10.00 to $9.00 in a research report on Wednesday, March 31st. Three research analysts have rated the stock with a sell rating and five have assigned a hold rating to the company. The company has a consensus rating of “Hold” and a consensus price target of $7.82.

NYSE:BB opened at $8.91 on Tuesday. The company has a debt-to-equity ratio of 0.25, a current ratio of 2.27 and a quick ratio of 2.27. BlackBerry has a 1 year low of $3.64 and a 1 year high of $28.77. The stock’s 50 day simple moving average is $10.28 and its two-hundred day simple moving average is $8.26. The company has a market cap of $5.04 billion, a price-to-earnings ratio of -6.02 and a beta of 1.66.

BlackBerry (NYSE:BB) last released its quarterly earnings data on Monday, March 29th. The company reported $0.03 earnings per share (EPS) for the quarter, hitting the Zacks’ consensus estimate of $0.03. BlackBerry had a positive return on equity of 4.12% and a negative net margin of 86.01%. During the same period in the prior year, the business posted $0.09 EPS. As a group, analysts anticipate that BlackBerry will post 0.06 EPS for the current year.

In other BlackBerry news, CFO Steve Rai sold 32,954 shares of the company’s stock in a transaction on Wednesday, January 20th. The stock was sold at an average price of $13.01, for a total value of $428,731.54. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Marjorie Dickman sold 16,304 shares of the company’s stock in a transaction on Friday, April 2nd. The shares were sold at an average price of $8.73, for a total value of $142,333.92. The disclosure for this sale can be found here. Insiders sold a total of 148,917 shares of company stock worth $1,831,581 in the last ninety days. 1.56% of the stock is currently owned by corporate insiders.

Hedge funds have recently modified their holdings of the business. Advisory Services Network LLC lifted its holdings in shares of BlackBerry by 249.4% in the 4th quarter. Advisory Services Network LLC now owns 3,718 shares of the company’s stock worth $25,000 after buying an additional 2,654 shares during the period. Exchange Traded Concepts LLC purchased a new stake in shares of BlackBerry in the 4th quarter worth $32,000. Mercer Global Advisors Inc. ADV purchased a new stake in shares of BlackBerry in the 3rd quarter worth $57,000. Raymond James & Associates lifted its holdings in shares of BlackBerry by 23.9% in the 3rd quarter. Raymond James & Associates now owns 14,759 shares of the company’s stock worth $68,000 after buying an additional 2,846 shares during the period. Finally, IFP Advisors Inc lifted its holdings in shares of BlackBerry by 10.0% in the 4th quarter. IFP Advisors Inc now owns 11,000 shares of the company’s stock worth $74,000 after buying an additional 1,000 shares during the period. Institutional investors and hedge funds own 46.60% of the company’s stock.

BlackBerry Company Profile

BlackBerry Limited provides intelligent security software and services to enterprises and governments worldwide. The company leverages artificial intelligence and machine learning to deliver solutions in the areas of cybersecurity; safety and data privacy; and endpoint security management, encryption, and embedded systems.

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