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Highlights
- BlackBerry (TSX:BB) stocks zoomed by over 10 per cent in a month
- BlackBerry recently announced four winner under the joint accelerator program
- The TSX tech index was up by almost per cent quarter-to-date
Canadian investors seeking growth exposure on a budget could explore TSX tech stock BlackBerry (TSX: BB), which is currently priced under C$ 10. It has also triggered some interest among investors as it recently provided information about its joint accelerator program with Canadian Software-as-a-Service (SaaS) accelerator, L-SPARK.
BlackBerry and L-SPARK revealed four winning companies for their BlackBerry IVYTM intelligent vehicle data platform focusing on connected vehicle technologies on Wednesday, July 13. Deeplite, Raven Connected, Sensor Cortek and Wedge Networks are the 'winners' that would make up the third cohort of this program and work under the BlackBerry L-SPARK Accelerator program.
Let us talk about this Canadian technology company, its financial profile and stock performance in the face of this new development.
BlackBerry Limited (TSX:BB)’s Q1 FY2023 financial results
The mid-cap software company reported a revenue of US$ 168 million in Q1 FY2023, relatively lower than US$ 174 million a year ago. The technology company posted an increased cost of sales of US$ 64 million in the latest quarter compared to US$ 60 million a year ago. As a result, BlackBerry noted a decreasing gross profit of US$ 104 million in Q1 2023 compared to US$ 114 million in the same quarter of 2022.
BlackBerry said its net loss expanded to US$ 181 million in Q1 2023 compared to US$ 62 million in the first quarter of FY2022.
Let us talk about Canadian technology company and discuss its financial and stock performance in the face of this new development.
BlackBerry Limited (TSX:BB)’s Q1 FY2023 financial results
The mid-cap software company reported a revenue of US$ 168 million in Q1 FY2023, relatively lower than US$ 174 million a year ago. The technology company posted an increased cost of sales of US$ 64 million in the latest quarter compared to US$ 60 million a year ago. As a result, BlackBerry noted a decreasing gross profit of US$ 104 million in Q1 2023 compared to US$ 114 million in the same quarter of 2022.
BlackBerry said its net loss expanded to US$ 181 million in Q1 2023 compared to US$ 62 million in the first quarter of FY2022.
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BlackBerry’s stock performance
BB stock zoomed by over 10 per cent in a month. However, it was still down by over 52 per cent from a 52-week high of C$ 15.41 (November 3, 2021). According to EODHD/Others data, BlackBerry stocks had a Relative Strength Index (RSI) of 50.36 on July 14, representing a moderate market situation.
On the valuation front, this technology company seems to have lower financial risk as its debt-to-equity (D/E) ratio was 0.39.
Bottomline
BB stock grew by about seven per cent quarter-to-date (QTD), thereby outperforming the TSX tech index, which was up by almost one per cent during this period. Hence, investors seeking significant growth could consider BlackBerry as it seems to continuously expand its tech footprints, particularly in the automobile industry.
Please note, the above content constitutes a very preliminary observation based on the industry, and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.
