BlackBerry CEO Bullish as Stock Falls Below Insider Exits
BlackBerry CEO John Giamatteo called QNX "on fire" and flagged Alloy Kore as a revenue unlock weeks after he and three other executives sold $4.35 million in shares at prices from $10.92 to $12.55. Th
BlackBerry CEO Bullish on Alloy Kore After $3.4M July Exit
NEW YORK, August 18 —
BlackBerry Limited (BB) CEO John Giamatteo is calling QNX "on fire" and flagging Alloy Kore as a revenue unlock, weeks after he and three other executives sold $4.35 million in shares at prices from $10.92 to $12.55. The stock now trades at $8.73, below every insider exit price on record.
- Four consecutive EPS beats; trailing revenue $0.58B, up 25.6% year-over-year, with 77.1% gross margins.
- CEO sold 305,284 shares for approximately $3.42M in July at $10.92 to $11.45; CFO Tim Foote sold shares as high as $12.55.
- Stock at $8.73, below every insider exit price; analyst consensus target is $9.71.
Four Executives, All Sellers
Between July 2 and July 14, CEO Giamatteo, CFO Tim Foote, CLO Philip Kurtz, and Chief People Officer Jennifer Armstrong-Owen collectively sold approximately $4.35 million in shares across open-market transactions, with zero insider purchases reported in the period. All four exercised stock options on the same dates they sold, a simultaneous exercise-and-sell pattern that per filings can reflect structured compensation planning rather than a discretionary exit. The CEO's share of the total is the notable element: Giamatteo alone accounted for $3.42 million across five transactions on July 2, 8, and 9, at prices between $10.92 and $11.45, with CFO Foote recording a high of $12.55 on July 2.
QNX Is the Engine; Alloy Kore Is the Bet
BlackBerry, the Waterloo, Canada company that rebranded from Research In Motion in 2013, now sells enterprise software across three segments: Secure Communications (which includes the BlackBerry Dynamics mobile application platform, unified endpoint management via UEM, and SecuSUITE encrypted messaging), QNX embedded automotive operating system software, and licensing. The operating trajectory has been improving: four consecutive EPS beats and trailing revenue of $0.58 billion growing 25.6% year-over-year at 77.1% gross margins. Giamatteo is pointing to two catalysts: Alloy Kore, which he says could unlock higher software revenue, and QNX growth in automotive and robotics, which he described as "on fire."
| Ticker | Mkt cap | Fwd P/E | 52-wk |
|---|---|---|---|
| BB | $5.1B | 38.2x | +137.3% |
| AMC | $2.2B | n/a | -14.7% |
| GME | $8.3B | 13.4x | -18.2% |
| NOK | $60.2B | 21.7x | +155.6% |
| SNDL | $306M | 41.0x | -40.0% |
| CLOV | $2.3B | 28.5x | +76.2% |
Free Cash Flow Settles the Question
The stock crossed its 200-day moving average five days ago and carries a forward P/E of 38.2x at $8.73, a multiple that prices in the software revenue acceleration Giamatteo is describing. The analyst consensus sits at $9.71, implying modest upside from current levels. Free cash flow of $105 million over the trailing twelve months is the figure to watch at the next earnings call: if QNX and Alloy Kore are gaining traction, it expands; if it stalls, the 38.2x premium becomes hard to defend. Investors stress-testing the premise can start with BlackBerry's parameters in the DCF calculator. Run the free BlackBerry Limited deep-dive →
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Frequently Asked Questions
Why did BlackBerry insiders sell shares?
Between July 2 and July 14, CEO John Giamatteo, CFO Tim Foote, CLO Philip Kurtz, and Chief People Officer Jennifer Armstrong-Owen collectively sold approximately $4.35 million in shares across open-market transactions, with zero insider purchases reported in the period. All four exercised stock options on the same dates they sold, a pattern that per filings can reflect structured compensation planning rather than a discretionary exit.
What is BlackBerry Alloy Kore?
Alloy Kore is a product CEO Giamatteo says could unlock higher software revenue for BlackBerry. He identified it, alongside QNX's automotive and robotics growth, as a specific catalyst for the company's next leg.
Where does BlackBerry stock trade relative to insider exit prices?
BlackBerry trades at $8.73, below every insider exit price on record, including the CEO's range of $10.92 to $11.45 and CFO Tim Foote's high of $12.55. The analyst consensus target sits at $9.71, implying modest upside from current levels.
How is BlackBerry's QNX business performing?
company has posted four consecutive EPS beats with trailing revenue of $0.58 billion growing 25.6% year-over-year at 77.1% gross margins.
What is BlackBerry's free cash flow?
BlackBerry generated $105 million in free cash flow over the trailing twelve months. The article identifies this as the key figure to watch at the next earnings call: if QNX and Alloy Kore gain traction it expands, and if it stalls, the 38.2x forward P/E becomes hard to defend.
BlackBerry CEO John Giamatteo is publicly calling QNX 'on fire' and flagging a product called Alloy Kore as a potential software revenue unlock — but the same executive sold approximately $3.42 million in shares at $10.92–$11.45 just six weeks ago, and the stock now sits at $8.73.