Canadian stock report - BlackBerry

CANA

UPDATE: BlackBerry down 2.5% in 2 days July 26, 2017 17:00 EDT

NEWS BITES - NORTH AMERICA

BlackBerry (TSX:BB), Canada's largest Communication equipment company by market cap, extended its slide on Wednesday, shedding an additional 16.0c (1.3%) to close at CAD12.30. The shares have dropped 32.0c (2.5%) over the past two trading days. Cumulative volume in the 2 days was 0.7 times the average 2-day volume of 2.3 million shares.

BLACKBERRY ISSUED 9 NEW PATENTS IN THE WEEK OF JULY 25, 2017

BlackBerry (BB) has been issued 9 new patents by the US Patent and Trademark Office. For details see Section 8

SECTION 1

BLACKBERRY BEARISH SIGNALS

1.1 Fundamentals:

Overvaluation [compared with sector average]:

+ Price/Sales of 4 [2.4].

+ Price to Book of 5.8 [3.6].

1.2 Technicals:

+ The price dropped 3.8% in the last week and tumbled 9.5% in the last month.

+ Compared with the S&P/TSX 60 Index which fell 0.7% for the week and 1.1% for the month, this represented a relative price decrease for BlackBerry stock of 3.1% for the week and 8.4% for the month.

+ The Moving Average Convergence Divergence (MACD) indicator of 12-day Exponential Moving Average (EMA) of 12.63 minus the 26-day EMA of 12.93 is negative 0.3 suggesting a bearish signal. Both EMA prices are falling, another bearish signal.

+ The stock's relative price strength percentile is slipping at 86 for 6 months, 51 for 3 months and 20 for 1 month.

1.3 Low Performance Indicator:

DescriptionValueRank In Market
Price Change %-1.3In Bottom Quartile

SECTION 2

BLACKBERRY BULLISH SIGNALS

2.1 Fundamentals:

+ Tobin's Q Ratio, defined as MCap divided by Total Assets, is 1.6. Compared with the rest of the market the stock is undervalued.

+ The company is cash rich with Cash to Market Capitalisation at 12.3%.

+ Net Profit margin is negative but improving in recent quarters. [Quarter ended, all figures in %]

QtrRevenue GrowthNet Profit Margin
Feb 17-1-16.4
Nov 16-13.5-40.5
Aug 16-16.5-111.4
May 16-13.8-167.5

2.2 Technicals:

+ The present value of CAD1,000 (PV1000) invested one year ago in BlackBerry is CAD1,291, for a capital gain of CAD291.

PV$10001-week1-month1-year
BB.TSX9629051,291
S&P/TSX 60 Index9941,0001,053

+ The present value of CAD1,000 (PV1000) invested five years ago in BlackBerry is CAD1,775, for a capital gain of CAD775.

+ 5 years Multiplier in CAD = 1.775x

+ Compound Annual Growth Rate (CAGR) in CAD = 12.2%

Present Value of USD1,000 invested 5 years ago:

+ The present value of USD1,000 (PV1000) invested five years ago in BlackBerry is $US1,442, for a capital gain of $US442.

+ 5 years ago CAD 1 equalled USD 0.9845

+ 5 years Multiplier in USD = 1.442x

+ Compound Annual Growth Rate (CAGR) in USD = 7.6%

Jul 26, 2017: CAD 1 equals USD 0.8

2.3 Oversold/Bullish/Support Signals:

+ The stock is oversold according to the Williams % R indicator of -97.5, suggesting the price is close to its 14-day low of CAD12.28.

2.4 High Performance Indicators:

DescriptionValueRank In Market
Today's TurnoverCAD15.4 million (US$12.3 million)In Top 3%
Price/MAP2001.11In Top Quartile

SECTION 3

PRICE VOLUME DYNAMICS

3.1 Volatility:

+ BlackBerry is at a discount of 22.2% to its 12-month high of CAD15.82 on June 01. It is also at a premium of 37.0% to the 12-month low of CAD8.98 on March 09.

3.2 Beta:

+ Beta: the Beta of BlackBerry stock is 1.2. A Beta greater than 1 suggests this is a high risk, high return stock with volatility greater than that of the market.

3.3 Aggregate Volumes, Prices and Turnover Period:

[Volume Index or VI in brackets; 1 is average]

+ Nasdaq: BBRY.NASDAQ 5,086,600 [VI of 0.4] volume 80.2% of aggregate. Price: $US9.97.

+ Toronto: BB.TSX 1,255,571 [VI of 0.6] volume 19.8% of aggregate. Price: CAD12.30.

+ Aggregate volume: there were 6.3 million shares of BlackBerry worth CAD78.9 million traded today. The aggregate volume was 0.4 times average trading of 14.7 million shares.

The turnover rate in the 12 months to date was 73.2% (or a turnover period of 1 year 4 months). This average length of ownership of the stock at 0.7 times the average holding period of 1 year 10 months for stocks in the S&P/TSX 60 Index suggests a slightly larger number of speculators on the share register, making it less safe for long-term investors.

SECTION 4

RANKING

4.1 Global Rank [out of 47,603 stocks] and Rank in the American Region [out of 12,817 stocks]

DescriptionValueGlobal RankIn Am Region
MCap (US$)5.2B2,473966
Total Assets (US$)3.3B5,0491,934
Revenue (US$)1.3B5,4751,940
Net Profit (US$)(1.2B)41,84810,493
Price to Book5.926,7545,091
PV$1000 (1Year) US$*1,35510,2942,576
US$* Change (1Year) %47.97,6261,903

* 1 year ago CAD 1 = USD 0.76

Jul 26, 2017: CAD 1 equals USD 0.8

4.2 Independent Ratings

BlackBerry was ranked 998 in the Industry Week list of the world's largest 1000 manufacturers by Revenues in 2015; a deterioration over a year from rank 603 in 2014.

It is placed 569/1998 in BSS News Bites' ranking of Canadian performers in the past year, a percentile ranking of 71.

SECTION 5

BLACKBERRY FINANCIALS

Financials Summary

Year endedFeb 2017Feb 2016Feb 2015
Sales (USD B)1.32.53.3
Pretax (USD)(1.2B)(282M)(385M)
Net (USD)(1.2B)(208M)(304M)
EPS (USD)(1.0758)(0.4)(0.58)

SECTION 6

BLACKBERRY PROFILE

6.1 Activities

BlackBerry Ltd is a designer, manufacturer and marketer of wireless solutions for the mobile communications market.

6.2 Industry & Sector

Classification LevelName of Sector
Economic SectorIndustrials
Business SectorIndustrial Goods
Industry GroupAerospace & Defense
IndustryAerospace & Defense
ActivityCommunication & Satellite Equipment

6.3 Top Management

The chief executive officer is John Chen and the chief financial officer is Steven Capelli.

6.4 Issued Capital

Based on 530,497,193 issued shares the market capitalisation is CAD6.5 billion (US$5.2 billion).

SECTION 7

REPORTED BUYING AND SELLING

Insider Buying and Selling

Reported Buying:

May 03: BlackBerry director buys

BlackBerry (TSX:BB) director Daniels, Michael Alan bought 16,077 shares worth CAD149,107 on May 03. The purchase price was CAD9.27. The shares hit a five-day low on the day.

Reported Selling:

June 21: BlackBerry insider sells

BlackBerry (TSX:BB) insider Nita White-Ivy sold 28,388 shares worth CAD301,705 on June 20. The selling price was CAD10.63. The shares hit an eight-day high on the day.

SECTION 8

BLACKBERRY PATENTS

Issued July 25, 2017

User interface methods and apparatus for use in communicating text and photo messages [9,715,340]

Techniques for use in messaging from a portable communication device having a camera module are described. In an instant communication session, the portable device displays a message thread involving two or more participants and a text input field for entering text. In response to an input to capture an image, the portable device automatically captures a photographic image via the camera module, attaches the photographic image to a message, and sends the message to at least one of the two or more participants.

Displaying a prediction candidate after a typing mistake [9,715,489]

A method includes receiving an input string from a virtual keyboard, generating at least one string based on the input string, where the input string is not a substring of the generated string, responsive to a determination that the generated string was previously generated based on the input string, selecting a candidate character associated with the input string and with the generated string, and displaying the generated string at a location on the virtual keyboard that is associated with the selected candidate character.

System, device and method for providing context sensitive content on a computing device [9,715,557]

A system, device and method for providing context sensitive content on a computing device is provided. In an embodiment, a computing device in the form of a portable computing device is configured to execute a primary web-browser application and a secondary web-browser application. The primary web-browser application is configured to generate a web-page containing context sensitive items and receiving focus on one of the context sensitive items. The secondary web-browser application is configured to generate the context sensitive content related to the one of the context sensitive items.

Method and apparatus for tuning a communication device [9,716,311]

A system that incorporates teachings of the present disclosure may include, for example, a tuning system for a communication device having an antenna, where the tuning system includes at least one first tunable element connected with at least one radiating element of the antenna for tuning the antenna where the adjusting of the at least one first tunable element is based on at least one of a use case associated with the communication device and location information associated with the communication device, and a matching network having at least one second tunable element coupled at a feed point of the antenna, wherein the matching network receives control signals for adjusting the at least one second tunable element to tune the matching network. Additional embodiments are disclosed.

Secured presentation layer virtualization for wireless handheld communication device [9,716,689]

The connectivity and security of wireless handheld devices (HDs) can be leveraged to provide a presentation appliance (PA) such as a laptop with an ability to securely communicate with an enterprise's private network. A split-proxy server, with part of it executing on the HD and a part executing on the PA, implements a full HTTP 1.1 compliant Internet/Web Proxy to couple the PA for communication through the HD. Specifically, the split proxy provides support for the pragmatic keep-alive header, the CONNECT method, socket connection sharing, and thread pooling, to enable a fully functional browsing environment. Such an environment enables access to commercial web-based applications that are built on standard Internet technologies without the need for re-rendering or re-writing the user interfaces to suit the HD. In addition, Intranet web-based applications are made securely accessible without the need for additional VPN and remote access technologies.

Card toolkit support for IP multimedia subsystem [9,717,063]

A method, system and computer-usable medium are provide for managing the Open Channel for IMS command correctly the UICC to have knowledge about the specific status codes the ME received from IMS. This knowledge allows the UICC to make a smarter decision on what it attempts to do to access IMS. Accordingly, the UICC is provided with detailed information about the status codes from the IMS service to allow the UICC to make an informed decision. If the UICC does not have such knowledge, it is possible that the UICC will send potentially unwanted commands to the ME to establish access to IMS.

Method and apparatus for avoiding in-device coexistence interference with preferred frequency notification [9,717,075]

A method, system and device are provided for avoiding in-device coexistence interference between different radio technologies deployed in adjacent bands on the same device by providing preferred frequency solutions for the in-device coexistence system.

Method and apparatus for small cell configuration in a heterogeneous network architecture [9,717,112]

A method at a UE operating in a hybrid network, the method receiving a separate discontinuous reception configuration at the UE for the macro cell than for a small cell; and configuring a receiver on the UE according to the separate discontinuous reception configurations. Further, a method at a macro cell, the method determining a mobility state of a UE; finding a service at the UE; and limiting the UE to associate only with the macro cell based on at least one of the determining and the finding. Further, a method at a UE in an environment with a macro and small cell using the same frequency, including receiving a first allocation for small cell within a common small HARQ subframe set; and receiving a second allocation for a macro cell within a common macro HARQ subframe set, wherein the sets do not overlap.

Detecting the Number of Transmit Antennas in a Base Station [US2017207844 (A1)]

Data is scrambled at a transmitter according to one of a number of predetermined scrambling sequences which are associated with a particular one of a number of predetermined transmit antenna diversity schemes (i.e., a specific number of transmit antenna ports). Received data is decoded using one or more of the known transmit antenna diversity schemes and the scrambled data is descrambled according to a corresponding descrambling sequence (related to the scrambling sequence). Based on the descrambled data, the receiver determines which transmit antenna diversity scheme (i.e., the number of antenna ports) is used by the transmitter. In one specific embodiment, CRC parity data is scrambled in the transmitter and the receiver descrambles the recovered CRC parity data according to a descrambling sequence, computes CRC parity data from the received data, and compares the descrambled CRC parity data to the newly computed CRC parity data

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SECTION 9

STOCK BUZZ

Corporate Wire

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June 02: BlackBerry director granted Deferred Share Units

BlackBerry (Canadian:BB) director Prem Watsa, has been granted Deferred Share Units on 3,852 shares worth CAD55,007. The transaction date was May 31. The shares last traded at CAD15.22.

June 02: BlackBerry director granted Deferred Share Units

BlackBerry (Canadian:BB) director Laurie Smaldone Alsup, has been granted Deferred Share Units on 3,501 shares worth CAD49,994. The transaction date was May 31. The shares last traded at CAD15.22.

June 02: BlackBerry director granted Deferred Share Units

BlackBerry (Canadian:BB) director Barbara Stymiest, has been granted Deferred Share Units on 3,480 shares worth CAD49,694. The transaction date was May 31. The shares last traded at CAD15.22.

June 02: BlackBerry director granted Deferred Share Units

BlackBerry (Canadian:BB) director Wayne G. Wouters, has been granted Deferred Share Units on 3,501 shares worth CAD49,994. The transaction date was May 31. The shares last traded at CAD15.22.

June 02: BlackBerry director granted Deferred Share Units

BlackBerry (Canadian:BB) director Timothy Dattels, has been granted Deferred Share Units on 3,501 shares worth CAD49,994. The transaction date was May 31. The shares last traded at CAD15.22.

Contact: (519) 888-7465

Physical Address: 295 Phillip Street, Waterloo, ON, CA, N2L 3W8

State/Province/Country: Canada

Country of Incorporation: Canada

Exchange: Toronto Stock Exchange

ISIN: CA09228F1036

T:BB; TSE:BB; N:BB; CN:BB; BB.TO

PermID: 4295861766

CIK: BlackBerry Limited (formerly Research In Motion Limited)

Blackberry Limited, Blackberry Ltd

Source: www.BuySellSignals.com