02:04 PM EDT, 04/04/2024 (MT Newswires) -- BlackBerry's Q4 headlines were better than expected, though most of the upside came from several one-time revenue items, notes RBC.

KPIs at Cybersecurity improved sequentially, but the business continues to face growth challenges, adds analyst Paul Rreiber. IoT backlog was solid; but FY25 guidance was below RBCe/consensus due to EV development delays impacting near-term IoT revenue.

BlackBerry is seeing good cost reductions, but its long-term targets may take longer than expected to achieve. "We believe investor visibility to stabilization of BlackBerry's revenue and the path to sustained profitability is low. We roll forward the basis of our price target from CY24e to CY25e."

Maintaining Sector Perform. Target of US$3.

Price: 4.14, Change: +0.33, Percent Change: +8.53