BLACKBERRY LTD (BB.CA) Stock Fundamental Analysis
TSX:BB - Toronto Stock Exchange - CA09228F1036 - Common Stock - Currency: CAD
BB gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 66 industry peers in the Software industry. BB has a bad profitability rating. Also its financial health evaluation is rather negative. BB is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
BB had positive earnings in the past year.
In the past year BB has reported a negative cash flow from operations.
In the past 5 years BB reported 4 times negative net income.
In multiple years BB reported negative operating cash flow during the last 5 years.
1.2 Ratios
BB has a Return On Assets of -9.78%. This is comparable to the rest of the industry: BB outperforms 40.91% of its industry peers.
BB has a Return On Equity (-17.66%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.78% | ||
| ROE | -17.66% | ||
| ROIC | N/A |
ROA(3y)-17.52%
ROA(5y)-19.13%
ROE(3y)-33.88%
ROE(5y)-36.21%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Gross Margin, with a value of 71.24%, BB is in the better half of the industry, outperforming 71.21% of the companies in the same industry.
BB's Gross Margin has declined in the last couple of years.
The Profit Margin and Operating Margin are not available for BB so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 71.24% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.4%
GM growth 5Y-4.67%
2. Health
2.1 Basic Checks
BB does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, BB has more shares outstanding
BB has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, BB has an improved debt to assets ratio.
2.2 Solvency
BB has an Altman-Z score of 1.34. This is a bad value and indicates that BB is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.34, BB perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
BB has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.27, BB is in line with its industry, outperforming 54.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.34 |
ROIC/WACCN/A
WACC12.37%
2.3 Liquidity
A Current Ratio of 1.37 indicates that BB should not have too much problems paying its short term obligations.
BB has a Current ratio (1.37) which is in line with its industry peers.
BB has a Quick Ratio of 1.37. This is a normal value and indicates that BB is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.37, BB is in the better half of the industry, outperforming 60.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 100.00% over the past year.
BB shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -23.57% yearly.
BB shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -27.20%.
Measured over the past years, BB shows a decrease in Revenue. The Revenue has been decreasing by -1.15% on average per year.
EPS 1Y (TTM)100%
EPS 3Y-30.66%
EPS 5Y-23.57%
EPS Q2Q%100%
Revenue 1Y (TTM)-27.2%
Revenue growth 3Y-1.52%
Revenue growth 5Y-1.15%
Sales Q2Q%-7.43%
3.2 Future
BB is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 36.89% yearly.
The Revenue is expected to decrease by -11.03% on average over the next years. This is quite bad
EPS Next Y-82.83%
EPS Next 2Y32.88%
EPS Next 3Y40.77%
EPS Next 5Y36.89%
Revenue Next Year-32.64%
Revenue Next 2Y-18.85%
Revenue Next 3Y-11.03%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
BB is valuated quite expensively with a Price/Earnings ratio of 249.00.
62.12% of the companies in the same industry are more expensive than BB, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 29.62. BB is valued rather expensively when compared to this.
BB is valuated quite expensively with a Price/Forward Earnings ratio of 49.67.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BB indicates a somewhat cheap valuation: BB is cheaper than 74.24% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.70. BB is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 249 | ||
| Fwd PE | 49.67 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as BB.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 89.91 |
4.3 Compensation for Growth
BB's earnings are expected to grow with 40.77% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y32.88%
EPS Next 3Y40.77%
5. Dividend
5.1 Amount
No dividends for BB!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:BB (2/21/2025, 7:00:00 PM)
7.47
-0.44 (-5.56%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners48.5%
Inst Owner ChangeN/A
Ins Owners0.26%
Ins Owner ChangeN/A
Market Cap4.42B
Analysts47.69
Price Target4 (-46.45%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)172.83%
Min EPS beat(2)100%
Max EPS beat(2)245.67%
EPS beat(4)4
Avg EPS beat(4)142.04%
Min EPS beat(4)31.47%
Max EPS beat(4)245.67%
EPS beat(8)8
Avg EPS beat(8)126.1%
EPS beat(12)12
Avg EPS beat(12)100.11%
EPS beat(16)15
Avg EPS beat(16)82.76%
Revenue beat(2)1
Avg Revenue beat(2)2.22%
Min Revenue beat(2)-0.45%
Max Revenue beat(2)4.9%
Revenue beat(4)3
Avg Revenue beat(4)10.74%
Min Revenue beat(4)-0.45%
Max Revenue beat(4)29.99%
Revenue beat(8)4
Avg Revenue beat(8)20.12%
Revenue beat(12)5
Avg Revenue beat(12)12.81%
Revenue beat(16)7
Avg Revenue beat(16)8.76%
PT rev (1m)10.47%
PT rev (3m)12.03%
EPS NQ rev (1m)28%
EPS NQ rev (3m)-4.02%
EPS NY rev (1m)147.06%
EPS NY rev (3m)147.06%
Revenue NQ rev (1m)-17.35%
Revenue NQ rev (3m)-19.71%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-7.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 249 | ||
| Fwd PE | 49.67 | ||
| P/S | 5.15 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 4.29 | ||
| P/tB | 15.49 | ||
| EV/EBITDA | 89.91 |
EPS(TTM)0.03
EY0.4%
EPS(NY)0.15
Fwd EY2.01%
FCF(TTM)-0.13
FCFYN/A
OCF(TTM)-0.1
OCFYN/A
SpS1.45
BVpS1.74
TBVpS0.48
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.78% | ||
| ROE | -17.66% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 71.24% | ||
| FCFM | N/A |
ROA(3y)-17.52%
ROA(5y)-19.13%
ROE(3y)-33.88%
ROE(5y)-36.21%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.4%
GM growth 5Y-4.67%
F-Score4
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.74 | ||
| Cap/Depr | 25% | ||
| Cap/Sales | 2.15% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 | ||
| Altman-Z | 1.34 |
F-Score4
WACC12.37%
ROIC/WACCN/A
Cap/Depr(3y)32.27%
Cap/Depr(5y)27.96%
Cap/Sales(3y)4.71%
Cap/Sales(5y)4.66%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)100%
EPS 3Y-30.66%
EPS 5Y-23.57%
EPS Q2Q%100%
EPS Next Y-82.83%
EPS Next 2Y32.88%
EPS Next 3Y40.77%
EPS Next 5Y36.89%
Revenue 1Y (TTM)-27.2%
Revenue growth 3Y-1.52%
Revenue growth 5Y-1.15%
Sales Q2Q%-7.43%
Revenue Next Year-32.64%
Revenue Next 2Y-18.85%
Revenue Next 3Y-11.03%
Revenue Next 5YN/A
EBIT growth 1Y67.86%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year148.86%
EBIT Next 3Y82.04%
EBIT Next 5Y62.02%
FCF growth 1Y81.34%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y83.61%
OCF growth 3YN/A
OCF growth 5YN/A