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BlackBerry (BB) Stock Slides as Market Rises: Facts to Know Before You Trade

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In the latest trading session, BlackBerry (BB - Free Report) closed at $4.56, marking a -1.51% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.21%. Elsewhere, the Dow gained 1.18%, while the tech-heavy Nasdaq lost 0.25%.

The stock of cybersecurity software and services company has risen by 1.76% in the past month, lagging the Computer and Technology sector's gain of 6.68% and the S&P 500's gain of 4.36%.

Market participants will be closely following the financial results of BlackBerry in its upcoming release. The company is forecasted to report an EPS of $0.04, showcasing a 100% upward movement from the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $0.14 per share and revenue of $529 million, which would represent changes of +600% and -7.79%, respectively, from the prior year.

Any recent changes to analyst estimates for BlackBerry should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. BlackBerry is holding a Zacks Rank of #1 (Strong Buy) right now.

Looking at valuation, BlackBerry is presently trading at a Forward P/E ratio of 33.07. This denotes a premium relative to the industry average Forward P/E of 29.72.

The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 61, finds itself in the top 25% echelons of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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