Though BB has a low Smart Score, investors can find top penny stocks by using TipRanks’ Penny Stocks Screener.ĭisclaimer: The TipRanks Smart Score performance is based on backtested results. Further, analysts’ average price target of $5.44 implies 14.1% upside potential. BB stock has an Underperform Smart Score of one out of 10, implying a weak outlook. Meanwhile, insiders sold BlackBerry stock worth $2.7M. Hedge funds sold 1.2M BB stock last quarter. While BB stock is trading cheaply, hedge funds and insiders have been selling it. Baird analyst Luke Junk, who has a Hold recommendation on BB stock, said, “We are positive on the company’s leading auto software platform, which is meeting an industry inflection point, and believe BlackBerry IVY could be the start of something big.”įor the cybersecurity business, Junk believes that its EDR (Endpoint Detection and Response) product is now “seemingly better positioned.” However, he added that “significant acceleration overall will be needed to reach 5-year targets for this business.” Bottom Line The company expects its overall sales to increase at a CAGR of 13% over the next five years. Meanwhile, its IoT segment’s top line is projected to grow at a CAGR of 19.8%. The auto software market is growing due to automation, digitization, and electrification.īlackBerry expects its cybersecurity business revenue to increase at a CAGR of 10% through FY27. Further, the company is also expected to benefit from the auto software demand. The increase in cybersecurity threats amid the digital transformation will support BlackBerry’s financials. ![]() ![]() Despite the secular sector trends, BlackBerry stock has a Hold consensus rating based on three Hold and one Sell recommendations. Is BlackBerry Stock a Buy or Hold?īlackBerry primarily generates revenue from two major software businesses: cybersecurity and IoT (Internet of Things). However, BB stock has a low Smart Score on TipRanks, implying a weak outlook ahead. While shares of this security software and services provider have corrected significantly, BlackBerry benefits from increased enterprise spending on cybersecurity. Down about 55% in one year, BlackBerry ( NYSE:BB)( TSE:BB) has become a penny stock.
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