BlackBerry tumbles on ugly sales outlook
BlackBerry, the Canadian smartphone turned cybersecurity and software company, is tumbling double digits in premarket trading despite posting slightly better-than-expected fourth-quarter earnings per share and revenues.
The culprit: lackluster full-year guidance, with management looking for revenues of $504 million and $534 million, compared to Wall Street’s call for a little over $550 million in sales. In fact, the high end of BlackBerry’s projected revenue range was only $2 million higher than the lowest analyst forecast for sales.
Shares of BlackBerry had been up as much as 60% before US stocks peaked in February, but erased all their gains ahead of this report amid a punishing pullback in the broad market, especially for tech stocks.
