NEW YORK (TheStreet) -- Shares of BlackBerry (BBRY) are up 1.44% to $10.83 today, extending gains of more than 7% since Friday, when the company reported third quarter results of $43 million in positive cash flow, a quarter earlier than promised, and posted an adjusted profit of 1 cent a share, as CEO John Chen's turnaround strategy starts to come to fruition, Bloomberg reports.

Revenue, however, was short of expectations. Chen told Bloomberg TV that he understands investors' impatience to see revenue growth and reiterated that it will come next year. He said his chances of turning the company around are now 99%.

While the stock was down on Friday because of the revenue miss, "it shouldn't distract from the company reaching positive cash flow," BGC Partners analysts said.

Exclusive Report:Jim Cramer's Best Stocks for 2015

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Separately, TD Securities upgraded the firm to "buy" from "hold" yesterday with a price target of $13, saying that BlackBerry is effectively transitioning to a cross-platform software/services company and that the "hardware miss is of little consequence."

TheStreet Ratings team rates BLACKBERRY LTD as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:

"We rate BLACKBERRY LTD (BBRY) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The area that we feel has been the company's primary weakness has been its declining revenues."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

  • The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Computers & Peripherals industry and the overall market, BLACKBERRY LTD's return on equity significantly trails that of both the industry average and the S&P 500.
  • The revenue fell significantly faster than the industry average of 13.5%. Since the same quarter one year prior, revenues fell by 33.5%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
  • Despite currently having a low debt-to-equity ratio of 0.50, it is higher than that of the industry average, inferring that management of debt levels may need to be evaluated further. Despite the fact that BBRY's debt-to-equity ratio is mixed in its results, the company's quick ratio of 2.49 is high and demonstrates strong liquidity.
  • BLACKBERRY LTD reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, BLACKBERRY LTD reported poor results of -$11.17 versus -$1.20 in the prior year. This year, the market expects an improvement in earnings (-$0.24 versus -$11.17).
  • The gross profit margin for BLACKBERRY LTD is rather high; currently it is at 63.81%. It has increased significantly from the same period last year. Regardless of the strong results of the gross profit margin, the net profit margin of -18.66% is in-line with the industry average.
  • You can view the full analysis from the report here: BBRY Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.