Blackberry Stock Story

BB -  USA Stock  

USD 10.83  0.21  1.90%

In general, we focus on analyzing Blackberry (NYSE:BB) price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Blackberry daily price indicators and compare them against related drivers. In this post we will go over Blackberry. We will evaluate if Blackberry shares are reasonably priced going into October.
Published over a month ago
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Will Blackberry (NYSE:BB) price continue slipping?
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Blackberry has an asset utilization ratio of 22.42 percent. This suggests that the company is making $0.22 for each dollar of assets. An increasing asset utilization means that Blackberry is more efficient with each dollar of assets it utilizes for everyday operations.
The successful prediction of Blackberry stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published stock prices of traded companies, such as Blackberry, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at the intrinsic value of Blackberry based on Blackberry hews, social hype, general headline patterns, and widely used predictive technical indicators.
We also calculate exposure to Blackberry's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Blackberry's related companies.

Use Technical Analysis to project Blackberry expected Price

Blackberry technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Blackberry technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Blackberry trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...

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 82 Million

Sale by Thomas Eacobacci of 171300 shares of Blackberry

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 sale of common shares by Thomas Eacobacci, President and COO BlackBerry, on 7th of October 2021. This event was filed by Blackberry Ltd with SEC on 2021-10-07. Statement of changes in beneficial ownership - SEC Form 4. Thomas Eacobacci currently serves as president, chief operating officer of Blackberry [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.

Breaking down Blackberry Further

The company generated the yearly revenue of 893 M. Annual Net Loss to common stockholders was (1.1 B) with gross profit of 643 M.

Deferred Revenue Breakdown

Blackberry Deferred Revenue is decreasing over the years with slightly volatile fluctuation. Ongoing Deferred Revenue is projected to grow to about 351.1 M this year. Deferred Revenue usually refers to a component of Total Liabilities representing the carrying amount of consideration received or receivable on potential earnings that were not recognized as revenue; including sales; license fees; and royalties; but excluding interest income. Blackberry Deferred Revenue is projected to decrease significantly based on the last few years of reporting. The past year's Deferred Revenue was at 294 Million
2010580 Million
2014470 Million
2015239 Million
2017195 Million
2018389 Million
2019294 Million
2021351.05 Million

Blackberry may start a throwback in October

The coefficient of variation is down to -704.94 as of today. Blackberry exhibits very low volatility with skewness of 0.9 and kurtosis of 0.52. However, we advise investors to further study Blackberry technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Blackberry's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Blackberry's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Our Takeaway on Blackberry Investment

Whereas some firms in the software—infrastructure industry are either recovering or due for a correction, Blackberry may not be performing as strong as the other in terms of long-term growth potentials. On the whole, as of the 21st of September 2021, our research shows that Blackberry is a rather somewhat reliable investment opportunity with a low chance of bankruptcy in the next two years. From a slightly different view, the entity currently appears to be fairly valued. Our overall 90 days advice on the company is Hold.

Editorial Staff

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 Vlad Skutelnik do not own shares of Blackberry. Please refer to our Terms of Use for any information regarding our disclosure principles.

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