NEW YORK (TheStreet) -- BlackBerry Ltd. (BBRY) saw its price target increased by Citigroup (C) to $8 from $4 in a note published Wednesday. Shares of Blackberry were down 1.25% to $9.24 in early market trading Wednesday.
The increase comes ahead of BlackBerry's March 28 earnings report.
Citigroup expects the number of smartphones sold to drop to 1.6 million from the previous quarter's 1.9 million. However, they also expect a jump to 2.5 million phones sold once the first shipment of Foxconn phones hits Indonesia in April.
"We expect [fourth quarter] earnings to show a continued deterioration of the business especially in services while declines in the device business should begin to level off. We estimate device shipments bottoming at 1.6M units in the Feb quarter down from 1.9M in November before shooting back up to 2.5M in May on the launch of the first wave of Foxconn phones into Indonesia," the note said.
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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 company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself."