This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

BlackBerry in Value Territory?

NEW YORK (TheStreet) -- I gave up my BlackBerry more than a year ago, and while there are some things I miss about it, as compared to my android device, I'm not sure it's enough to go back. Evidently, that's not uncommon sentiment judging by the downward trajectory of BlackBerry's (BBRY - Get Report) revenue and bottom line.

Friday, the company reported a 56% decline in third quarter revenue, and both revenue and the net loss for the quarter were well below expectations. But in classic fashion, the stock rebounded after the release, and finished the day up more than 15%; a reaction to the announcement of a five-year deal smartphone production outsourcing deal with Foxconn. The hope is that getting out of the hardware manufacturing business will help cut costs and the messy inventory situations the company has gotten into.

BBRY Chart
BBRY data by YCharts

While this company has a long way to go to once again become relevant and profitable, it has also become an interesting situation from a value perspective. Despite the terrible operating performance in recent years, the company has maintained a fairly solid balance sheet, and is once again showing up on some of my deep-value oriented stock screens.

Must Read: Dec. 23 Premarket Briefing: 10 Things You Should Know

BlackBerry ended the third quarter with nearly $3.1 billion, or just under $6 per share in cash and short-term investments. Now, granted that the company did burn through about $400 million in cash last quarter, excluding the $1 billion private placement deal in convertible debentures the company did with Fairfax Financial (FRFHF: OTC BB) and others, so this cash hoard needs to be both monitored and taken with a grain of salt. But, that level of cash certainly does get my attention, especially with the stock trading in the mid-$7 range.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
BBRY $6.76 -1.46%
AAPL $94.19 -1.04%
FB $118.06 0.54%
GOOG $695.70 0.48%
TSLA $222.56 -4.20%


Chart of I:DJI
DOW 17,651.26 -99.65 -0.56%
S&P 500 2,051.12 -12.25 -0.59%
NASDAQ 4,725.6390 -37.5850 -0.79%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs