BlackBerry Ltd. (BB) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Enghouse Systems Ltd.

Constellation Software, Inc.

BlackBerry Ltd.

The Descartes Systems Group, Inc.

Kinaxis, Inc.

Docebo, Inc.

Open Text Corp.

Topicus.com, Inc.

Lightspeed Commerce, Inc.

Dye & Durham Ltd.

Lumine Group, Inc.

Why is BlackBerry Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -10.45% and Operating profit at 16.57% over the last 5 years

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 100.31%, its profits have risen by 135.1% ; the PEG ratio of the company is 1.3

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to BlackBerry Ltd. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is BlackBerry Ltd. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

BlackBerry Ltd.

62.91%

0.29

60.61%

S&P/TSX 60

19.1%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-11.27%

EBIT Growth (5y)

22.61%

EBIT to Interest (avg)

-19.61

Debt to EBITDA (avg)

0.10

Net Debt to Equity (avg)

-0.13

Sales to Capital Employed (avg)

0.66

Tax Ratio

100.00%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

57.74%

ROCE (avg)

0.76%

ROE (avg)

0.39%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.77

EV to EBIT

44.89

EV to EBITDA

29.98

EV to Capital Employed

4.12

EV to Sales

4.87

PEG Ratio

0.12

Dividend Yield

ROCE (Latest)

9.19%

ROE (Latest)

6.78%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

23What is working for the Company

PRE-TAX PROFIT(Q)

At CAD 11.11 MM has Grown at 6,306.64%

OPERATING CASH FLOW(Y)

Highest at CAD 17.97 MM

ROCE(HY)

Highest at -1.79%

NET PROFIT(Q)

At CAD 4.31 MM has Grown at 163.2%

RAW MATERIAL COST(Y)

Fallen by -2.63% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -9.78 %

EPS(Q)

Highest at CAD 0

-7What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.16%

INTEREST(Q)

At CAD 2.11 MM has Grown at 47.4%

NET SALES(Q)

Lowest at CAD 171.16 MM

Here's what is working for BlackBerry Ltd.

Pre-Tax Profit

At CAD 11.11 MM has Grown at 6,306.64%

over average net sales of the previous four periods of CAD 0.17 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CAD MM)

Net Profit

At CAD 4.31 MM has Grown at 163.2%

over average net sales of the previous four periods of CAD -6.82 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CAD MM)

Operating Cash Flow

Highest at CAD 17.97 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CAD MM)

EPS

Highest at CAD 0

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CAD)

Debt-Equity Ratio

Lowest at -9.78 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -2.63% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for BlackBerry Ltd.

Interest

At CAD 2.11 MM has Grown at 47.4%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)

Debtors Turnover Ratio

Lowest at 3.16% and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Sales

Lowest at CAD 171.16 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CAD MM)

Net Sales

At CAD 171.16 MM has Fallen at -13.81%

over average net sales of the previous four periods of CAD 198.58 MM

MOJO Watch

Near term sales trend is negative

Net Sales (CAD MM)

Non Operating Income

Highest at CAD 0.9 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income