Zacks Research Upgrades BlackBerry (NYSE:BB) to "Strong-Buy"

Key Points

• Zacks Research upgraded BlackBerry from “hold” to “strong-buy,” adding to a series of recent analyst actions that have generally turned more positive on the stock. Still, MarketBeat notes the overall consensus rating remains “Hold” with an average target price of $8.92.
• BlackBerry beat fiscal Q1 earnings and revenue expectations, reporting EPS of $0.04 versus $0.03 expected and revenue of $152.9 million versus $136.1 million expected. Revenue rose 25.6% year over year, and the company reiterated guidance for FY2027 and Q2 2027.
• Despite the upbeat news, the stock fell 3.0% on Tuesday and insider selling has been notable, including recent sales by the CFO and SVP. Institutional ownership remains significant at 54.48%.

BlackBerry (NYSE:BB - Get Free Report) was upgraded by stock analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a research note issued on Tuesday,Zacks.com reports.

BB has been the subject of several other reports. Wall Street Zen upgraded BlackBerry from a "hold" rating to a "buy" rating in a report on Monday, June 8th. Raymond James Financial boosted their price target on shares of BlackBerry from $4.75 to $9.50 and gave the company a "market perform" rating in a research report on Friday, June 26th. Royal Bank Of Canada upped their price objective on shares of BlackBerry from $4.50 to $9.00 and gave the company a "sector perform" rating in a report on Friday, June 26th. TD Securities reaffirmed a "hold" rating and set a $8.00 target price on shares of BlackBerry in a research note on Friday, June 26th. Finally, Stifel Nicolaus assumed coverage on shares of BlackBerry in a research note on Wednesday, June 24th. They issued a "buy" rating and a $12.00 price target for the company. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, BlackBerry presently has an average rating of "Hold" and a consensus target price of $8.92.

BlackBerry Trading Down 3.0%

BB opened at $10.68 on Tuesday. The company has a debt-to-equity ratio of 0.26, a current ratio of 2.20 and a quick ratio of 2.20. The company's 50 day simple moving average is $9.12 and its two-hundred day simple moving average is $5.69. BlackBerry has a 1-year low of $3.12 and a 1-year high of $13.59. The firm has a market capitalization of $6.26 billion, a price-to-earnings ratio of 118.62 and a beta of 2.20.

BlackBerry (NYSE:BB - Get Free Report) last posted its quarterly earnings results on Thursday, June 25th. The company reported $0.04 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.03 by $0.01. BlackBerry had a return on equity of 11.66% and a net margin of 10.31%.The business had revenue of $152.90 million during the quarter, compared to analyst estimates of $136.10 million. During the same period in the prior year, the business earned $0.02 earnings per share. The business's revenue was up 25.6% compared to the same quarter last year. BlackBerry has set its FY 2027 guidance at 0.160-0.200 EPS and its Q2 2027 guidance at 0.030-0.040 EPS. Analysts expect that BlackBerry will post 0.13 EPS for the current fiscal year.

Insider Activity at BlackBerry

In other news, SVP Jennifer Armstrong-Owen sold 3,296 shares of the company's stock in a transaction that occurred on Thursday, July 9th. The shares were sold at an average price of $10.92, for a total value of $35,992.32. Following the transaction, the senior vice president directly owned 106,091 shares in the company, valued at approximately $1,158,513.72. This represents a 3.01% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CFO Tim Foote sold 25,878 shares of the stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $12.39, for a total transaction of $320,628.42. Following the transaction, the chief financial officer directly owned 58,372 shares of the company's stock, valued at $723,229.08. The trade was a 30.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 355,858 shares of company stock worth $4,012,270. 0.51% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the company. CoreCap Advisors LLC acquired a new stake in shares of BlackBerry in the second quarter valued at $31,000. Elevation Wealth Partners LLC acquired a new position in BlackBerry during the 2nd quarter worth about $32,000. Wealthfront Advisers LLC purchased a new position in BlackBerry during the 1st quarter valued at about $34,000. Bank of New York Mellon Corp purchased a new position in BlackBerry during the 1st quarter valued at about $37,000. Finally, Portfolio Resources Advisor Group Inc. acquired a new position in BlackBerry in the 4th quarter valued at about $46,000. 54.48% of the stock is currently owned by institutional investors and hedge funds.

About BlackBerry

BlackBerry Limited, formerly known as Research In Motion (RIM), is a Canadian enterprise software and cybersecurity company based in Waterloo, Ontario. Since its founding in 1984, the firm has evolved from a pioneer in mobile devices into a specialist in secure communications, endpoint management, and embedded systems software. BlackBerry's core mission today centers on delivering security-first solutions that protect critical data and infrastructure across diverse industries.

At the heart of BlackBerry's offerings is the BlackBerry Spark® platform, which combines unified endpoint management (UEM), secure communications, and artificial intelligence–driven threat detection into a single framework.

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