BlackBerry stock was down over 3.5% in per-market trading Wednesday as Morgan Stanley downgraded the company to "underweight" from "equal-weight." Morgan Stanley says BlackBerry is overly optimistic and will not be able to gain more traction in the enterprise mobile market.
TheStreet rates BlackBerry as a "Sell."
Recent news from BlackBerry has been optimistic as CEO John Chen was able to stop the bleeding of cash and raise revenues. Some of these rating agencies clearly feel BlackBerry is not seeing the reality of the mobile market. This seems like a short term dip in the stock and I bet even the slightest good news will give it a bounce.
"[BlackBerry] will be unable to gain relevancy in enterprise mobile management software market and will continue to lose enterprise subscribers," said analysts at Morgan Stanley. "Pressure will continue to mount on hardware platforms in the form of both lower pricing and lengthening life cycles, with value creation opportunities primarily in software."
TheStreet rates BlackBerry as a "Sell."
Recent news from BlackBerry has been optimistic as CEO John Chen was able to stop the bleeding of cash and raise revenues. Some of these rating agencies clearly feel BlackBerry is not seeing the reality of the mobile market. This seems like a short term dip in the stock and I bet even the slightest good news will give it a bounce.