A Delayed Reaction For BlackBerry Shares
Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.
BlackBerry Ltd (NASDAQ: BBRY) shares were trading lower by $0.22 (3 percent) at $8.98 in Tuesday's session. It has been a wild ride for the issue, as it skyrocketed over $10, reaching $10.20 in pre-market trading despite a poor earnings report.
The company reported a larger than expected Q1 loss of $(0.05) vs. $(0.03) estimates, along with lower sales of $658 million vs. $679.06 estimates. What may have sparked the buying frenzy was that the company reported a 150 percent increase in software technology and licensing sales.
The issue retreated from the $10 level and ended up opening lower ($9.08 vs. Monday's close of $9.20) and made one attempt to clear the close, peaking at $9.21.
So far it has slipped under $9, reaching $8.95 and it struggling to distance itself from the level. Its low from the recent tumble from its May 5 high ($11.09) was made in Monday's session at $8.82.
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.