BlackBerry Story

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BB -- USA Stock  

USD 5.12  0.01  0.19%

BlackBerry Average Assets are projected to decrease significantly based on the last few years of reporting. The past year's Average Assets were at 3.93 Billion. The current year Earnings Before Interest Taxes and Depreciation Amortization EBITDA is expected to grow to about 65.7 M, whereas Earnings before Tax are forecasted to decline to (151.9 M). As many investors are getting excited about technology space, it is fair to go over BlackBerry Limited. What exactly are BlackBerry shareholders getting in October? Here I will also go over some forward-looking signals that BlackBerry investors should consider in October.
Published over a month ago
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Another strong showing for BlackBerry
BlackBerry Limited is undervalued at 5.92 per share with modest projections ahead. BlackBerry has performance score of 2 on a scale of 0 to 100. The firm shows a Beta (market volatility) of 0.671, which signifies possible diversification benefits within a given portfolio. Let's try to break down what BlackBerry's beta means in this case. As returns on the market increase, BlackBerry returns are expected to increase less than the market. However, during the bear market, the loss on holding BlackBerry will be expected to be smaller as well. Although it is extremely important to respect BlackBerry Limited historical returns, it is better to be realistic regarding the information on equity current trending patterns. The philosophy in foreseeing future performance of any stock is to evaluate the business as a whole together with its past performance, including all available fundamental and technical indicators. By analyzing BlackBerry Limited technical indicators, you can presently evaluate if the expected return of 0.1% will be sustainable into the future. BlackBerry Limited right now shows a risk of 2.39%. Please confirm BlackBerry Limited information ratio, treynor ratio, and the relationship between the downside deviation and total risk alpha to decide if BlackBerry Limited will be following its price patterns.

How important is BlackBerry's Liquidity

BlackBerry financial leverage refers to using borrowed capital as a funding source to finance BlackBerry Limited ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. BlackBerry financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between BlackBerry's total debt and its cash.

How BlackBerry utilizes its cash?

To perform a cash flow analysis of BlackBerry, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash BlackBerry is receiving and how much cash it distributes out in a given period. The BlackBerry cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. BlackBerry Net Cash Flow from Operations is projected to increase significantly based on the last few years of reporting. The past year's Net Cash Flow from Operations was at 26 Million

What did BlackBerry file with SEC?

The SEC filings are financial statements or other formal documents of BlackBerry Limited that are regularly submitted to the U.S. Securities and Exchange Commission (SEC). Public companies, certain insiders, and broker-dealers are required to make SEC filings and fintech professionals rely on these filings for information about companies they are evaluating for investment purposes. Please note, most SEC filings are available online through the SEC's EDGAR database. Please check here for more information.
Please note, although all public domestic companies are required to submit their filings via EDGAR, not all public companies are available through our service. Also, keep in mind that the actual annual reports to BlackBerry shareholders may or may not be submitted as SEC does not always require it.
Financial Statements and Exhibits. Results of Operations and Financial Condition
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Entry into a Material Definitive Agreement
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Submission of Matters to a Vote of Security Holders
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Please note, although all public domestic companies are required to submit their filings via EDGAR, not all public companies are available through our service. Also, keep in mind that the actual annual reports to BlackBerry shareholders may or may not be submitted as SEC does not always require it.

Exercise or conversion by Mark Wilson of 6925 shares of BlackBerry subject to Rule 16b-3

Legal trades by BlackBerry insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
BlackBerry insider trading alert for exercise of restricted share units by Mark Wilson, Chief Marketing Officer, on 5th of October 2020. This event was filed by Blackberry Ltd with SEC on 2020-10-05. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

A Deeper Perspective On BlackBerry

BlackBerry Limited retains a total of 556.41 Million outstanding shares. Over half of BlackBerry Limited outstanding shares are owned by other corporate entities. These other corporate entities are typically referred to corporate investors that acquire positions in a given instrument to benefit from reduced trade commissions. Consequently, these institutions are subject to different rules and regulation than regular investors in BlackBerry. Please watch out for any change in the institutional holdings of BlackBerry Limited as this could mean something significant has changed or about to change at the company. Remember, it does not matter who owns the company or if the company is currently losing money. If the true value of the company is more than the market pays for it currently, you can still have a good investment opportunity.
 2017 2018 2019 2020 (projected)
Revenues USD932 M904 M1.04 B1.07 B
Revenues932 M904 M1.04 B1.07 B

Ownership Breakdown

Retail Investors
42.29%
Institutions
55.71%
Retail Investors42.29
Insiders2.0
Institutions55.71

Will BlackBerry growth be trustworthy after the rise?

Current Jensen Alpha is up to -0.06. Price may slip again. BlackBerry Limited exhibits very low volatility with skewness of 0.55 and kurtosis of 0.83. However, we advise investors to further study BlackBerry Limited technical indicators to make sure all market info is available and is reliable.

The Bottom Line

Whereas many other companies within the software?infrastructure industry are still a little expensive, even after the recent corrections, BlackBerry may offer a potential longer-term growth to investors. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither trade nor exit any shares of BlackBerry at this time. The BlackBerry Limited risk-reward trade off is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to BlackBerry.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of BlackBerry Limited. Please refer to our Terms of Use for any information regarding our disclosure principles.

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