BlackBerry Stock Looks Strong at a 5-Year High with Double-Digit Growth in Revenue and Earnings Ahead

• BlackBerry (BB) is positioned as a cybersecurity and software leader, with strong technical momentum.
• Shares are up more than 160% over the past year.
• BB maintains a 100% “Buy” technical opinion from Barchart.
• Revenue and earnings are projected to grow double digits for two consecutive years, supporting bullish sentiment from several analysts and platforms.

Today’s Featured Stock

Valued at $6.78 billion, BlackBerry (BB) provides intelligent security software and services to enterprises and governments worldwide. It offers devices and software platforms for managing security, mobility, and communications among hardware, programs, mobile apps and the internet of things.

What I’m Watching

I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals; superior current momentum in both strength and direction, Weighted Alpha above 50+ and a 60-Month Beta over 1.5. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. BB checks those boxes. The Trend Seeker issued a new “Buy” signal on June 25. Since then, the stock has gained 4.3%.

Barchart’s Technical Indicators for BlackBerry

Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.

BlackBerry scored a 5-year high of $13.59 on June 29.

• BlackBerry has a Weighted Alpha of +152.06.
• BB has a 100% “Buy” opinion from Barchart.
• The stock has gained 164.5% over the past 52 weeks.
• BlackBerry has its Trend Seeker “Buy” signal intact.
• The stock recently traded at $10.77 with a 50-day moving average of $8.91.
• BB has made 7 new highs and gained 16.5% over the past month.
• 60-month beta of 2.20.
• Relative Strength Index (RSI) is at 54.85.
• There’s a technical support level around $10.62.

Don’t Forget the Fundamentals

• $6.78 billion market capitalization.
• 71.4x trailing price-earnings ratio.
• Revenue is projected to grow 11.91% this year and another 10.37% next year.
• Earnings are estimated to increase 17.86% this year and an additional 21.21% next year.

Analyst and Investor Sentiment on BlackBerry

• The Wall Street analysts followed by Barchart give the stock 2 “Strong Buy” and 5 “Hold” opinions with price targets between $8 and $13.
• Value Line rate the stock “Average” with price targets from $9 to $16.
• CFRA’s MarketScope rates the stock a “Buy.”
• Morningstar thinks the stock is 105% overvalued with a fair value of $5.20.
• 169,030 investors are following the stock on Seeking Alpha, which rates it a “Strong Buy.”
• Short interest is 7.25 of the float with 1.15 days to cover the float.

The Bottom Line on BlackBerry

This isn’t the old BlackBerry you might remember. The company had increases in both revenue and earnings last year, and analysts are predicting double-digit increases in both again for the next two years.

Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.

On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.