UPDATE: RBC Capital Markets Upgrades Blackberry
In a report published Friday, RBC Capital Markets analyst Paul Treiber upgraded Blackberry (NASDAQ: BBRY) to Sector Perform from Underperform, raising its price target to $10.00 from $6.00.
According to the report, the upgrade to Sector Perform follows the new management team's move to quickly to improve liquidity and strengthen the balance sheet. Firming asset metrics and transfer of liabilities may provide cushion to BlackBerry's stock. “BlackBerry's new CEO is moving fast,” the report said. “We expect more changes over the next six months as no stone is left unturned at BlackBerry, which at one point had 17k employees and is now down to 7k. The move into the MDM segment is not without risk and the market is seeing sharp ASP erosion. We expect bridge products between BB7 and BB10, and a focused approach to servicing the high-end enterprise.” BBRY closed Thursday at $8.72.
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