Can BlackBerry Sales Beat This Abysmal Prediction?
Concerns that U.K. sales figures for BlackBerry’s (NASDAQ:BBRY) recently-released Z10 were not as strong as first reported, combined with indications that Samsung is preparing an enterprise platform of its own, contributed to a bludgeoning of the phone manufacturer’s stock last week. A report that former co-chief executive officer Jim Balsillie sold his remaining stake in the company did’t help matters either. Shares were down 14.16 percent for the 5-day period.
This week does not appear to be starting much better, but perhaps investors are becoming used to disappointments, because shares have rebounded slightly. In early-afternoon trading on Tuesday, shares were up a little more than 2.5 percent at $14.51, a figure that puts the stock up 22 percent this year to date.
However, these gains belie a serious problem with BlackBerry’s sales.
Canaccord Genuity analyst Mike Walkley joined Deutsche Bank in giving a critical assessment of the company’s smartphone shipments for the February quarter. In a research note authored by Walkley on Tuesday, he dealt the company quite a blow; the analyst reiterated a Sell rating and a $9 price target on BlackBerry’s shares, while lowering his sales estimates for this quarter and the fiscal year that begins next month…