1. DuexNoir's Avatar
    From my question, it's obvious I'm not knowledgeable in stock markets at all. But I am wondering with all the talks about BB stock going up or down whether it is that important to the survival of the company? Obviously, the company would be in better standing if the stock price is high but is it the be all for a company's survival? I see the stock price of Bombardier around only $4 but the company itself appears to be doing quite well lately with millions worth of contracts worldwide. So I wonder if stock price is any true indication of company health, and whether BB can still survive even with low stock price?

    I really hope BB keeps on chugging along steadily. I'll be in a real dilemma if I have to choose any other phone aside from a BlackBerry. Certainly won't be a happy camper if it comes to that, so I'm hoping not.
    07-05-13 10:28 PM
  2. howarmat's Avatar
    no its doesnt need a high stock price to survive but it would sure help! There are various options with the company, even delisting the stock taking the company private. They could even sell it. But I think that the stock price will bounce back it will just be very slow.
    07-05-13 10:42 PM
  3. theRock1975's Avatar
    Stock has been issued and rim got paid for it. It's considered long term debt and really it never has to be paid back.

    The stock can be 0 and the company can still run.

    The book value of each share is currently at $18.

    Posted via CB10
    dusdal and Shanerredflag like this.
    07-05-13 10:47 PM
  4. NYC10065's Avatar
    If the share price continues to languish, investors will naturally wonder whether they can get their investment back more easily if BBRY is alive vs dead. Investors will also be asking whether BBRY should be throwing good money after bad or whether BBRY's cash would be better distributed to shareholders. If BBRY does not demonstrate that it can properly manage its business, watch for big shareholders to pressure the board into pursuing other opportunities to enhance shareholder value. After all, the shareholders are the owners of the company.
    fedakd likes this.
    07-05-13 11:13 PM
  5. kfh227's Avatar
    If the stock shot to $100 tommorrow, everyone would be curious as to why. They'd look at hte phone with open minds and buy it because it is now cool.

    Sorry, this is how the USA works.
    haringfish, dusdal and ray689 like this.
    07-05-13 11:33 PM
  6. NYC10065's Avatar
    If the stock shot to $100 tommorrow, everyone would be curious as to why. They'd look at hte phone with open minds and buy it because it is now cool.

    Sorry, this is how the USA works.
    If the stock shot up to $100 tomorrow, it would mean that the USA suddenly discovered how great BB10 was!
    theRock1975 and dusdal like this.
    07-06-13 12:31 PM
  7. sentimentGX4's Avatar
    The stock price of BBRY has no direct impact on the day to day operations of the corporation; but, the lower the stock price goes, the more likely that BBRY will be subject to hostile takeover. This is how many companies inevitably disappear and not bankruptcy.

    With a lower stock price, BBRY will also be more sensitive to outside influences since it is easier to take control of a lower value corporation. The result could be a number of things, such as management upheaval, that will lead to BBRY's undoing.

    The reason a company like Bombardier can have a low $4 stock value and still be healthy is that stock price is arbitrary. The true value of a company is reflected in its market capitalization which is the value of all its outstanding shares. (Companies have different numbers of outstanding shares and the number of shares for every corporation is constantly changing.)

    The most common, normalized metric to compare the value of a share between two different companies is the Price-to-Earnings (P/E) ratio, which is the price of a share over the earnings-per-share (EPS). Most healthy corporations have a P/E ratio of 10 to 20. A struggling corporation will have a negative P/E ratio. MSNMoney calculates BBRY's P/E ratio to be -24.78.
    Last edited by sentimentGX4; 07-06-13 at 05:49 PM.
    07-06-13 12:51 PM
  8. BBThemes's Avatar
    The book value of each share is currently at $18.
    id love to know how you`ve come to that figure. shows your workings to make that figure stick please.

    Reason I question this is that currently BBRY`s market cap is just shy of $5bn, with a share price of $9.55, at your valuation your saying the company has a net worth of apx $10bn
    07-06-13 06:58 PM
  9. kfh227's Avatar
    Book = (Total Equity - Preferred Stock)/ Total Shares Outstanding.

    It's right around $18/share.

    Stocks often trade under book. Even Berkshire Hathaway does on occasion.
    07-06-13 09:01 PM
  10. BBThemes's Avatar
    Book = (Total Equity - Preferred Stock)/ Total Shares Outstanding.

    It's right around $18/share.

    Stocks often trade under book. Even Berkshire Hathaway does on occasion.
    Lol why can't people include their workings out with numbers. It would give the figure credence then ya see.



    Posted via CB10
    07-06-13 09:12 PM
  11. theRock1975's Avatar
    id love to know how you`ve come to that figure. shows your workings to make that figure stick please.

    Reason I question this is that currently BBRY`s market cap is just shy of $5bn, with a share price of $9.55, at your valuation your saying the company has a net worth of apx $10bn
    Just look at their audited balance sheet.

    Net worth = assets - liabilities

    Divide this number by the number of shares.

    Posted via CB10
    07-06-13 10:40 PM
  12. theRock1975's Avatar
    Lol why can't people include their workings out with numbers. It would give the figure credence then ya see.



    Posted via CB10
    It's not my working, it's an audited balance provided by the company.

    Rtfbs
    As opposed to rtfm.

    Posted via CB10
    07-06-13 10:46 PM
  13. GTiLeo's Avatar
    If the stock shot to $100 tommorrow, everyone would be curious as to why. They'd look at hte phone with open minds and buy it because it is now cool.

    Sorry, this is how the USA works.
    its cool to follow the media
    07-08-13 04:56 PM
  14. GTiLeo's Avatar
    Just look at their audited balance sheet.

    Net worth = assets - liabilities

    Divide this number by the number of shares.

    Posted via CB10
    in accounting terms yeah but this is wall street, there is more to it then just the value of the networth of the company. they look at future earnings, current earnings, stock demand, assets and liabilities in order to put a value to the company. its honestly pretty stupid but thats how its done
    07-08-13 05:00 PM
  15. anon1727506's Avatar
    Stock price give you a perceived value. BlackBerry doesn't need their stock to go up, but the do need the perception not to be right.
    07-09-13 11:48 AM
  16. JonCBK's Avatar
    One reason they need the stock price up is that many employees, in particular the executives, are partially paid in the form of stock or stock options. If that doesn't work out for the executives, they will leave. This goes all the way down into lower middle management in some companies. So a low stock price can hurt moral of the employees who have unvested stock tied up that they can't sell or they have stock options that are worthless (e.g., an option to buy a share at $40 is worthless since the share only costs $9.50 on the market).
    07-09-13 11:56 AM

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