BlackBerry (NYSE:BB) Stock Price Down 5.3% – Here’s What Happened

BlackBerry Limited (NYSE:BB)’s share price fell 5.3% on Friday. The company traded as low as $8.19 and last traded at $8.2670. Approximately 9,566,385 shares traded hands during trading, a decline of 48% from the average session volume of 18,353,047 shares. The stock had previously closed at $8.73.

More BlackBerry News

Here are the key news stories impacting BlackBerry this week:

• Positive Sentiment: BlackBerry’s Q2 adjusted EPS of $0.07 exceeded the $0.04 analyst consensus, while revenue rose 26% year over year to approximately $163 million, also topping expectations. BlackBerry Surpasses Q2 Earnings and Revenue Estimates
• Positive Sentiment: The QNX automotive software division delivered record quarterly revenue, supported by core automotive strength and new design wins. BlackBerry also secured its first Alloy Kore design win, described as the largest in QNX history. BlackBerry Lifts Annual Revenue Forecast
• Positive Sentiment: Profitability and cash generation improved substantially: adjusted EBITDA increased 81% year over year, GAAP operating income rose 192%, operating cash flow reached $29 million, and the company recorded its sixth consecutive quarter of positive GAAP net income. BlackBerry Reports Second Quarter Fiscal Year 2027 Results
• Positive Sentiment: Management raised fiscal 2027 revenue guidance to $616 million–$636 million, above the roughly $614 million consensus, and lifted EPS guidance to $0.19–$0.22 from the $0.18 consensus. The stronger outlook reinforces the turnaround and QNX growth thesis. BB Q2 Earnings Top and FY27 Outlook Raised
• Neutral Sentiment: Unusually high call-option activity, up 63% from average volume, indicates increased speculative interest but does not establish a fundamental valuation signal.
• Neutral Sentiment: Analysts’ consensus price target is approximately $8.92, suggesting only modest potential upside relative to recent trading levels. BlackBerry Consensus Target Price
• Negative Sentiment: Fiscal Q3 EPS guidance of $0.04–$0.05 is centered around or below the $0.05 consensus, while revenue guidance of $143 million–$154 million has a midpoint below expectations. This weaker near-term outlook may be prompting profit-taking despite the full-year raise. BlackBerry Stock and Q2 Guidance

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on BB shares. TD Securities restated a “hold” rating and set a $8.00 target price on shares of BlackBerry in a research report on Friday, June 26th. Royal Bank Of Canada reiterated a “sector perform” rating and issued a $9.00 target price on shares of BlackBerry in a report on Monday. Wall Street Zen raised BlackBerry from a “hold” rating to a “buy” rating in a research note on Saturday, August 29th. Raymond James Financial increased their price target on BlackBerry from $4.75 to $9.50 and gave the stock a “market perform” rating in a report on Friday, June 26th. Finally, Weiss Ratings downgraded shares of BlackBerry from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday, August 28th. Two investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average target price of $8.83.

BlackBerry Stock Down 6.8%

The company has a current ratio of 2.20, a quick ratio of 2.20 and a debt-to-equity ratio of 0.26. The stock’s 50-day moving average price is $8.31 and its 200-day moving average price is $7.37. The company has a market cap of $4.78 billion, a P/E ratio of 90.29 and a beta of 2.23.

BlackBerry (NYSE:BB) last issued its earnings results on Thursday, September 24th. The company reported $0.07 EPS for the quarter, beating analysts’ consensus estimates of $0.04 by $0.03. BlackBerry had a return on equity of 11.66% and a net margin of 10.31%.The business had revenue of $166.56 million during the quarter, compared to analyst estimates of $144.22 million. During the same period in the previous year, the company posted $0.04 EPS. The firm’s revenue was up 26.0% compared to the same quarter last year. BlackBerry has set its FY 2027 guidance at 0.190-0.220 EPS and its Q3 2027 guidance at 0.040-0.050 EPS. As a group, research analysts forecast that BlackBerry Limited will post 0.13 EPS for the current year.

Insider Transactions at BlackBerry

In related news, CFO Tim Foote sold 25,878 shares of the stock in a transaction on Thursday, July 2nd. The stock was sold at an average price of $12.39, for a total value of $320,628.42. Following the transaction, the chief financial officer directly owned 58,372 shares in the company, valued at $723,229.08. This trade represents a 30.72% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, SVP Jennifer Armstrong-Owen sold 3,296 shares of the business’s stock in a transaction on Thursday, July 9th. The shares were sold at an average price of $10.92, for a total transaction of $35,992.32. Following the sale, the senior vice president owned 106,091 shares of the company’s stock, valued at $1,158,513.72. This trade represents a 3.01% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 355,858 shares of company stock valued at $4,012,270 over the last ninety days. Company insiders own 0.51% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of BB. Legal & General Group Plc purchased a new stake in shares of BlackBerry during the second quarter valued at approximately $480,710,000. Connor Clark & Lunn Investment Management Ltd. bought a new position in BlackBerry in the 2nd quarter valued at $69,786,000. Bank of America Corp DE purchased a new stake in shares of BlackBerry during the 2nd quarter valued at $64,718,000. BlackRock Inc. bought a new stake in shares of BlackBerry during the 2nd quarter worth $42,002,000. Finally, Primecap Management Co. CA purchased a new position in shares of BlackBerry in the 2nd quarter worth about $36,362,000. Institutional investors own 54.48% of the company’s stock.

BlackBerry Company Profile

BlackBerry Limited is a Canadian software company headquartered in Waterloo, Ontario, that provides cybersecurity and Internet of Things (IoT) solutions to enterprises, governments and other organizations worldwide. Its cybersecurity offerings include endpoint protection, endpoint management, identity and access controls, secure communications, and tools designed to help organizations monitor and respond to cyber threats.

The company’s IoT business is built around QNX, a software platform used in automotive systems and other embedded applications.