Can BlackBerry’s Stock Rebound?

With shares of BlackBerry (NASDAQ:BBRY) trading around $7, is BBRY an OUTPERFORM, WAIT AND SEE, or STAY AWAY? Let’s analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

T = Trends for a Stock’s Movement

BlackBerry is a designer, manufacturer, and marketer of wireless solutions for the worldwide mobile communications market. Through the development of integrated hardware, software, and services, it provides platforms and solutions for seamless access to information such as email, voice, instant messaging, SMS, Internet, intranet-based applications, and browsing. Its products and services feature the BlackBerry wireless solution, the Research In Motion Wireless Handheld product line, the BlackBerry PlayBook tablet, software development tools, and other software and hardware.

As a part of the plan to make the company profitable again, BlackBerry is selling off the majority of its real estate holdings in Canada to the U.S.-based Spear Street Capital for around $278 million. The company said it expects to sell properties with a value that is 80 percent of the deal later this month and the rest by the third-quarter of 2014. The deal includes 3 million feet of space and vacant lands, and the company said it will lease some of the space back in a bid to keep up its presence in Canada. News of the sale helped drive shares down 2.7 percent on Monday, cutting into the stock’s positive year-to-date performance.