BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) shares are assigned In-Line rating by Imperial Capital, who initiated coverage on the stock, in a research note issued on Monday. The stock was up 0.42% on Monday to $9.53 with a trading volume of 10,710,212 shares.
BlackBerry needs time
In a recent report, BMO Capital analysts mentioned that hardware business of the company is making right moves, but nothing can be said with conviction about the next set of smart phones. BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB), recently, launched a square-shaped Passport, and reactions over the phones are mixed. Real Performance of Passport will be revealed after few quarters, and hardware volumes are expected to be flat over the next year, which is expected to be an improvement from recent declines. Analysts at BMO stated that the hardware margins have increased, but there is no scope of further improvement.
The Canadian company is still trying to revive its declining sales, and analysts believe that hardware and software segment will not revive fast enough to counterbalance the declining services revenue in the following years. The Waterloo Ontario-based company has a safe cash balance, note analysts.
BMO Capital analysts have assigned a price target of $10, an increase from $9 previously, and gave a Market Perform rating to the stock.
Consensus rating of Hold
BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) shares received rating from various analysts after the earnings. ING group initiated coverage on the stock, in a research note to the investors on Monday, assigning in-line rating with a price target of $9.53. Credit Suisse assigned Underperform rating to the stock with a price target of $6.00 in a research note to the investors on September 30th. Separately, Nomura analysts have raised the price target on BlackBerry to $10.60 in a research note to the investors on September 29th.The Company, presently, has a consensus rating of “Hold” and an average target price of $8.77.
The Waterloo Ontario-based company posted its earnings on September 26th reporting Earnings per share of ($0.02) for the quarter, beating the Thomson Reuters’ consensus estimate of ($0.16). Revenue for the company came in at $016.00 million for the quarter, an increase of 41.8% on a year over year basis. On an average, analysts expect the company to post $(0.34) in earnings per share for the current fiscal year.