Hit me $BB 🍇 one more time! (Papa Chen about to close BlackBerry’s billion dollar patent sale and launch Amazon IVY connected car)
BlackBerry is set to have a parabolic run over the next few weeks/months with many upcoming catalysts! Below is my analysis of why I think the stock is going higher.
Buying BlackBerry now is similar to buying $AMD at $2.00 in 2014 when SU BAE stepped in as CEO and took the stock to the moon! I believe this is a very similar opportunity right now! 🤫
My fellow APES 🐵 just remember that DIAMONDS 💎 are made under PRESSURE 🖐
Good Luck and let's hope that PAPA CHEN makes it rain TENDIES! 🐔 💦
Background – The turn around story of the SLEEPING GIANT 💪
Under the leadership of CEO John Chen, BlackBerry has spent the past 8 years pivoting from hardware smartphones to the future: (1) IoT Internet of Things (2) Automotive/EV and (3) Cyber Security.
All three of these areas are growth opportunities and BlackBerry has strategically partnered with many large tech companies including: Amazon, Microsoft and Qualcomm.
The market value of BlackBerry is CRIMINALLY UNDERVALUED at ~$6 Billion compared to their competitors such as $CRWD at $53 Billion, $PANW at $54 Billion and $ZS at $48 Billion to name a few.
The transformation of the business can be summarized in the slide below. Mickensy Consulting has estimated that the pool of reoccurring revenue from the IoT and connected car will grow exponentially over the next 10 years, which is VERY GOOD for BlackBerry's new business model!
Patent Sale/Settlement/Partnership Announcement 💰
There is been lots of speculation and rumors over the past few month from various sources, ranging from Facebook $FB being the sole purchaser for cash up front and/or a partnership deal, to a group of parties. The range of the deal is said to be worth $1 Billion to $2 Billion.
On the last conference call, CEO John Chen said that there is about an "80% probability that the deal closes by Q4". This date is November 2021, which is next week. However, they could also be waiting to release it during their next earnings call on December 21st, 2021.
QNX, IoT (Internet of Things), Amazon IVY and the connected car ecosystem 👍
QNX real-time OS is installed in 195M cars today, out of 1.4B cars in total on the road worldwide. QNX enables many different software pieces to run in a car, so acts as a kind of central control unit. QNX is becoming the predominant OS for connected cars, since it´s installed in so many cars. Whilst today $BB licenses QNX to OEMs on a per-unit royalty basis, QNX is effectively set up (through Blackberry Ivy, in partnership with $AMZN) to be the foundation of the data value chain for the auto industry, which McKinsey estimates will be quite big, specially for a company ($BB) with a market cap of $6 Billion today. I think this will extend to other verticals over the next decade.
In addition to the North American and Japanese automakers, BlackBerry QNX also have partnerships with Chinese EV's such as $XPEV and $BIDU (who plans to make EV's in the future).
CES 2022 BB will be demonstrating both cyber and IoT with key partners 👏
BlackBerry has started testing their BETA version of IVY with Amazon this fall and are looking to showcase more features and capabilities with key partners at the CES in early 2022.
On the last conference call, BlackBerry announced that they hired John Giamatteo from McAfee to lead BlackBerry's cyber security business unit 👌
John's executive experience and connections should be BlackBerry generate sales in their current vertices and new market opportunities down the road, for both enterprise and consumer.
BlackBerry continues to win Awards and is issued/granted new patents every month 😎
Most recently, SE Labs independently-owned and run testing company that assesses security products and services ranked BlackBerry as #1 in New Endpoint system security.
Quote: ”2021 has been the first year we have tested this product with BlackBerry publicly. When judging for our annual awards it is hard to ignore when a new, significant vendor enters our tests and performs so well from the start," said Simon Edwards, CEO SE Labs. Blackberry has demonstrated excellent performance in our 'real-world' testing, and the product is well regarded by both our expert panel of judges and users of the product. We would like to congratulate BlackBerry on achieving the award for best new endpoint."
Institutional Funds are loading up BIGLY 👀 🔍
Over the past months, big institutions have been increasing their position. Today for example, Morgan Stanley's 13F filing showed that they alone increased their $BB holdings by +51%!
Do they have insider info about the patent sale and/or other news? Could a Price Target increase be coming soon now that they have loaded up on shares?
Technical Analysis 📈 🚀 🍋
The weekly chart is a tight equilibrium pattern looking to break out on the bullish catalyst(s). Price target $30+ by early next year. Some UOA (Unusual Options Activity) also showed up today too.
Submitted November 24, 2021 at 11:45PM by moneymonster420