Business & Investment

February outlook: why BlackBerry inventories more than doubled in January

Stocks of Canadian tech companies BlackBerry (TSX: BB)(NYSE: BB) It ended in January with an increase of 113%.It has become one of the most talked about TSX Last month’s stocks surged in volatility and trading volume. The company announced some major updates last month, but Reddit’s trading frenzy also played a key role in the rally.

Before discussing the February outlook, let’s take a quick look at some of BlackBerry’s recent major updates.

BlackBerry: January update

BlackBerry stocks have been on my stock watchlist for the past few months as the growing interest in the electric vehicle and smart mobility segments caught my eye. The company has been a major player in the automotive industry for the last few years. Its QNX real-time operating system (OS) platform is already very popular among major car manufacturers.

Last month, BlackBerry expanded its partnership with Chinese search engine giant Baidu.. Under this strategically expanded partnership, Baidu’s high-resolution maps will run on BB’s latest QNX Neutrino OS.In addition, these maps and OS GAC Group Future mass-produced electric vehicles.

GAC Group — Currently, we have partnerships with the following major global automotive companies: Honda, Fiat, Toyota, Isuzu,and Mitsubishi — Is one of the leading car manufacturers in the world’s largest car market. I believe that the growing BlackBerry footprint in the Chinese market will help drive significant economic growth in the coming years.

Blackberry too settlement A long-standing intellectual property infringement dispute with an American social media giant Facebook In January. However, the company has not disclosed details of the settlement so far.

Reddit-fueled rally

Apart from these positive factors BlackBerry is now One of the few strains discussed at the Reddit community WallStreetBets last month. Some experts say WallStreetBets (subreddit), GameStop, BlackBerry, and Bed bath & beyond, Et cetera.

That’s why some brokerage firms like Robin Hood Interactive broker Limited users were unable to purchase some rally shares, including BlackBerry.

BlackBerry stock: February outlook

The impact of the Reddit-fueled stock market story on BlackBerry stock is not negligible. Equity volatility has increased significantly in recent years, making it a dangerous stock to touch for now. Nonetheless, good purchases continue in the long run as we strive to profit from the surge in demand for electric vehicles.

Partnership with Amazon Web services announced in December are also in line with BlackBerry’s commitment to bet on smart mobility and the electric vehicle revolution. This partnership will enable BB to develop an integrated vehicle data platform that expands the automotive industry’s products.

Stupid takeaway

These factors do not bring immediate financial benefits to the company, but they will certainly boost profits and profits in the coming years. That’s why, as mentioned earlier, BlackBerry stock is a great stock for investors looking for long-term growth. However, as Reddit users continue to influence stock price movements, very high volatility could continue in February. And that’s why stocks are at risk for short-term investors and traders.

John Mackey, CEO of Whole Foods Market, a subsidiary of Amazon, is a member of The Motley Fool’s Board of Directors. Randi Zuckerberg, a former Facebook market development director and spokeswoman and sister to CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. David Gardner It owns shares in Amazon, Baidu, Facebook and GameStop. Tom Gardner I own shares in Baidu and Facebook. Motley Fool owns and recommends shares in Amazon, Baidu and Facebook. Motley Fool recommends BlackBerry and BlackBerry and recommends the following options: A long call of $ 1920 in January 2022 on Amazon and a short call of $ 1940 in January 2022 on Amazon. Stupid contributor Jitendra Parashar There are no positions in any of the listed stocks.

February outlook: why BlackBerry inventories more than doubled in January February outlook: why BlackBerry inventories more than doubled in January

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