BlackBerry (NYSE:BB) Trading Up 8.8% - Here's Why

On Wednesday, shares of BlackBerry Limited (NYSE:BB) experienced an 8.8% increase during trading. The stock climbed to a high of $5.72 before settling at $5.74. In total, around 14,983,071 shares were exchanged, marking a decrease of 31% from the average daily trading volume, which is approximately 21,768,123 shares. Previously, the stock closed at $5.27.

Wall Street Analyst Insights

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Several analysts have recently provided their perspectives on BlackBerry's stock. The Royal Bank of Canada raised its target price from $3.25 to $4.00, maintaining a "sector perform" rating in a report dated January 10th. Similarly, Robert W. Baird increased their price target from $3.00 to $3.50, assigning a "neutral" rating in their analysis on December 20th. CIBC also raised its price objective from $3.50 to $3.60, giving BlackBerry an "outperform" rating in a report issued on October 17th.

On the same day, TD Cowen elevated their stance on the stock from "hold" to "buy," adjusting their target price from $3.25 to $4.00. Moreover, TD Securities lifted its rating to "buy" with a revised price target of $4.00. Overall, six analysts have categorized the stock as a hold, three as a buy, and one analyst has given it a strong buy rating. According to data from MarketBeat, BlackBerry has an average rating of "Moderate Buy" and a target price of $3.69.

BlackBerry's Stock Performance

BlackBerry currently holds a market capitalization of $3.43 billion with a P/E ratio of -26.34. The stock has a beta of 1.31, indicating its volatility. Furthermore, BlackBerry's quick ratio and current ratio stand at 1.37, while its debt-to-equity ratio is 0.27. The company's 50-day simple moving average is $3.88, and the 200-day simple moving average is $2.91.

The last earnings report from BlackBerry was on December 19th, in which the company announced earnings of $0.02 per share, outperforming analysts' estimates of a $0.01 loss. The company's quarterly revenue was $143 million, slightly below the forecast of $144.84 million. Year-over-year, BlackBerry's revenue decreased by 5.9%, while the return on equity was negative at 2.02%, and the net margin stood at -21.16%. Analysts predict a loss of -0.03 earnings per share for the current year.

Insider Transactions

In significant insider activity, CEO John Joseph Giamatteo sold 155,815 shares on January 2nd at an average price of $3.68, totaling approximately $573,399. Following this transaction, his holdings decreased by 28.78%, leaving him with 385,552 shares valued at about $1,418,831. Additionally, CAO Jay P. Chai sold 24,425 shares on January 24th for a total value of $102,340.75 at an average price of $4.19. In the last 90 days, insiders have sold 244,221 shares worth $925,655, and they now own 0.34% of the company's total shares.

Institutional Investor Activity

Several hedge funds and institutional investors have recently adjusted their stakes in BlackBerry. Quantinno Capital Management LP purchased new shares in the third quarter, and Masso Torrence Wealth Management Inc., Mindset Wealth Management LLC, and Sanctuary Advisors LLC also added new positions in the fourth quarter, each valued at around $38,000-$41,000. Overall, institutional investors hold about 54.48% of the company’s stock.

Overview of BlackBerry Limited

BlackBerry Limited offers intelligent security software and services for enterprises and governments globally. Their operations are classified into three segments: Cybersecurity, IoT, and Licensing and Other. The company's product lineup includes solutions like CylanceENDPOINT for endpoint security, and BlackBerry Dynamics for secure mobile application development.

Further Information

This report provides insights on BlackBerry as analysts analyze its potential future performance and market activities.

BlackBerry, Stock, Trading