$BB: Is BlackBerry Stock a Trap? (What the Algos Are Saying)

[00:00:01]BlackBerry stock is down 6.78% so this is Thursday the 4th of July 2026 pre-market session. So this is uh flowing from uh the post-market session of um yesterday the 3rd.

[00:00:14]Yeah, the stock is rather the company has uh been undergoing a turn turn around for some time now.

[00:00:21]On the last earnings call, the management of the company emphasized that the turn around is complete highlighting eight consecutive quarters of uh improving GAAP uh profitability and consistent execution across uh the business.

[00:00:36]So the company CEO of the company Tim Foote um indicated that um the company is now a growth uh company.

[00:00:46]Yeah.

[00:00:47]Okay, the company delivered a strong finish to fiscal 2026 with uh fourth quarter revenues grew growing 10% year-over-year and adjusted gross margin expanding to more than 78.2% The company also demonstrated uh solid uh cash cash generation producing a meaningful operating cash flow.

[00:01:10]Okay, and much more. So the driving QNX driving the long-term upside.

[00:01:18]At the center of uh BlackBerry's growth uh story is the QNX division.

[00:01:23]QNX is a real-time operating system for embedded systems widely used in auto in the in the auto motive and and is now getting traction in the fiscal year medical, robotics, industrial, and emerging markets.

[00:01:38]QNX delivered a record quarterly revenue of 78.7 million dollars up 20% year-over-year.

[00:01:46]Record record royalties and development revenues was uh the key catalysts.

[00:01:53]Has also achieved the rule of 40.

[00:01:57]QNX's uh royalty backlog reached uh $150 million offering uh clear visibility into sustained multi-year growth.

[00:02:06]The growing relevance of uh software-defined vehicles is fueling uh QNX's momentum.

[00:02:15]Yeah, so but um we don't exactly know why it is down. Now, it's down uh 6.78%.

[00:02:22]Coming back to this, we have here uh management of the company highlighted uh partnerships with uh major chip makers such as Nvidia and uh Qualcomm underscoring QNX's role as a foundational software layer in next-generation intelligent systems.

[00:02:36]The upcoming launch of the Alloy Core platform, which moves uh BlackBerry up the software stack into middleware, could significantly increase um average selling prices and deepen customer relationships.

[00:02:50]Yeah, you'll find this link in the description box below.

[00:02:54]>> [snorts] >> Okay, let's see. The stock is up uh 168% year-to-date.

[00:02:59]Yeah.

[00:03:02]Okay, this is its uh weekly chart. Okay, underlying trend is also strongly bullish.

[00:03:08]It's uh 200-day moving 200-week moving average, which underscores the underlying trend is gaining 43 cents every week.

[00:03:15]10-week moving average is uh in a strong parabolic phase gaining um roughly $12.69.

[00:03:24]They are those I see and that um we should expect higher prices up till the 15th of June. After that, we might see a distributive contraction towards uh early August late August rather. But, let's see how that goes.

[00:03:39]We have a downward projection here of $5.62.

[00:03:42]What's the odds of that printing?

[00:03:48]Look at the daily chart is uh equally uh straight this Well, the underlying trend on a daily doing chart is strongly bullish one.

[00:03:56]It's 200-day moving average, which underscores the underlying trend is trending gaining 75 cents every day.

[00:04:02]10-day moving average is in a parabolic phase.

[00:04:05]Gaining $4.85 every day.

[00:04:09]And the algos are saying that today was going to be a slight down day and that's what we're looking at right now.

[00:04:16]And it's saying that the the weakness might remain in place up to Monday the 8th of June.

[00:04:20]Then after that we might see a a bounce towards uh the 2nd of July.

[00:04:27]Yeah.

[00:04:28]At least up to the 15th of June we'll have some alignments there. Yeah.

[00:04:34]That's between this daily chart on the weekly chart. So we have a day Yeah, it's scary down projection of a 3.64. What are the odds of that printing?

[00:04:46]This is the 4-hour chart. Okay, it's sitting similar to what's going on right now. Underlying trend equally strongly bullish as well.

[00:04:54]The 200-period moving average, which underscores the underlying trend, is in a very strong parabolic phase gaining $5.33 every 4 hours.

[00:05:04]But it may be it may be losing momentum.

[00:05:06]Yes, it's lost the momentum already.

[00:05:08]Yes.

[00:05:09]Um earlier on earlier on I saw I saw Tuesday the 2nd, it was uh the indication was uh that it was gaining $7.34 since that's now giving it up a lot of momentum.

[00:05:23]Yeah, and we can see down here it's it's it's starting to look like that may be continuing to weaken.

[00:05:29]Even though we might see a bounce uh from the momentum on the 10-week moving average, which is now severely bearish, but uh the derivatives are still robust.

[00:05:37]You can see here.

[00:05:39]Uh the pressure they see but they it seems they may have been trying to buy the deep.

[00:05:46]Have they been trying to buy the deep?

[00:05:47]Let's see.

[00:05:51]Yeah, okay, no, they are not. They are not there's there is an attempt to buy the deep, but no, it's not it's not effective enough. Selling pressure well the the amount the the pressure the buying pressure that that was in place earlier on was so strong that even with this weakness that's going on right now it hasn't it hasn't it voted did that the effect of what it did still so that's why we have these derivatives are still very much positive.

[00:06:23]So yeah, what in any case low prices are expected to continue to print based on this four-hour chart going all the way all the way towards um Friday the 12th of June. So we have an alignment between now and Monday between this four-hour chart and the daily chart for BlackBerry stock, but beyond that we have a divergence, you know, but um I think for now we may just be able to rely on this four-hour chart. The daily chart hasn't reflected um it hasn't tested this weakness this this weakness of up to 6.88% has not been applied on it yet even though it was saying that today it was going to be a slight down day.

[00:07:03]Uh even as a matter of fact not really not confident with our not not not with with a lot of confidence. So I think our best bet will still be this four-hour chart, you know, um Yeah, all right. Let's see how it goes.

[00:07:18]It will have here 6.81 is it what we have?

[00:07:21]Let's see that. 6.81 What is what's the danger? What's the what's the risk of that happening?

[00:07:27]What's the what's the likelihood of that happening? Yeah.

[00:07:31]>> [snorts] >> Yeah, let's see 6.81. Can we see um 6.81?

[00:07:40]Yeah, let's see.

[00:07:45]Okay.

[00:07:47]I can't exactly I can't exactly see for sure what the probability is. But the others we have this just quite good at projecting our projections. 6.7 6.7 it will be will be really harsh.

[00:08:01]But if it continues to decay as the extrapolation is saying then it might well happen. So see what you make of our Blackberry stock and thank you very much for watching this video.