BlackBerry jumps on Amazon deal

Article Excerpt

BLACKBERRY LTD. $11 is still a hold. The company (Toronto symbol BB; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 556.1 million; Market cap: $6.1 billion; Price-to-sales ratio: 5.8; No dividend paid; TSINetwork Rating: Speculative; www.blackberry.com) quit developing smartphones in 2016 to concentrate on its more-promising security software. Blackberry is now focused on adding value for investors by producing security software for mobile phones and self-driving cars. The company has now teamed up the cloud-computing division of Amazon.com (Nasdaq symbol AMZN) to commercialize its IVY software for cars. IVY connects to the cloud to provide drivers with a variety of information such as road conditions. Automakers can also use IVY to monitor vehicle performance to help prevent breakdowns. The deal caused the stock to jump 40%. However, it will probably take two years before automakers can install IVY in their vehicles. BlackBerry is a hold. hold…