-- RBC Capital Markets on Friday said BlackBerry (BB.TO, BB) reported solid fourth-quarter results that beat RBC and consensus estimates.
The company's fiscal 2027 revenue guidance also flagged improved growth, above expectations, notes analyst Paul Treiber, who is nevertheless maintaining a sector-perform rating and US$4.50 price target on the stock to reflect compression in software peer valuations.
The company is benefitting from increasing uptake of its expanded QNX portfolio: management sees middleware as an emerging opportunity, and initial interest appears positive, with Mercedes-Benz currently in discussions, Treiber notes.
Secure Communications also returned to growth with BlackBerry seeing increasing demand from governments related to digital sovereignty.
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