Analyzing BlackBerry (NYSE:BB) & RM (OTCMKTS:RMLPF)

BlackBerry (NYSE:BB) and RM (OTCMKTS:RMLPF) are both computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, valuation, profitability, earnings, dividends, analyst recommendations and institutional ownership.

Insider & Institutional Ownership

54.5% of BlackBerry shares are held by institutional investors. 0.4% of BlackBerry shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current recommendations for BlackBerry and RM, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BlackBerry	1	6	1	0	2.00
RM	0	0	0	0	0.00

BlackBerry presently has a consensus target price of $5.10, indicating a potential upside of 46.76%. Given BlackBerry’s stronger consensus rating and higher probable upside, analysts clearly believe BlackBerry is more favorable than RM.

Earnings & Valuation

This table compares BlackBerry and RM”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BlackBerry	$534.90 million	3.84	-$79.00 million	$0.03	115.83
RM	N/A	N/A	N/A	N/A	N/A

RM has lower revenue, but higher earnings than BlackBerry.

Profitability

This table compares BlackBerry and RM’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BlackBerry	4.02%	8.05%	4.78%
RM	N/A	N/A	N/A

Summary

BlackBerry beats RM on 9 of the 9 factors compared between the two stocks.

About BlackBerry

BlackBerry Limited provides intelligent security software and services to enterprises and governments worldwide. The company operates through three segments: Cybersecurity, IoT, and Licensing and Other. The company offers CylanceENDPOINT, an integrated endpoint security solution; CylanceGUARD, a managed detection and response solution; CylanceEDGE, an AI-powered continuous authentication zero trust network access solution; CylanceINTELLIGENCE, a contextual cyber threat intelligence service; BlackBerry Dynamics offers a development platform and secure container for mobile applications; BlackBerry Workspaces a secure Enterprise File Sync and Share (EFSS) solution; BlackBerry Messenger (BBM) Enterprise, an enterprise-grade secure instant messaging solution for messaging, voice and video; BlackBerry SecuSUITE is a certified, multi-OS voice and text messaging solution; BlackBerry AtHoc, a secure networked critical event management solution; and BlackBerry unified endpoint management (UEM) solutions. It also provides BlackBerry Technology Solutions (BTS); BlackBerry Certicom, a patented elliptic curve cryptography, which provides device security, anti-counterfeiting and product authentication solutions; BlackBerry Radar offers monitoring and telematics solutions; BlackBerry Professional; and cyber security consulting services. In addition, the company is involved in the patent licensing and legacy service access fees business. The company was formerly known as Research In Motion Limited and changed its name to BlackBerry Limited in July 2013. BlackBerry Limited was incorporated in 1984 and is headquartered in Waterloo, Canada.

About RM

RM plc supplies products, services, and solutions to educational markets in the United Kingdom, Europe, North America, Asia, the Middle East, and internationally. It operates through three divisions: RM TTS, RM Assessment, and RM Technology. The company designs and owns proprietary products for schools; and offers platform delivery of digital assessment and exam marking solutions for accreditors, educators, and learners. It also provides technical teaching solutions, in which it collaborates with teachers and educational experts to create learning resources; platform-based managed services, ICT solutions, and value-added reseller services to schools, authorities, and trusts. In addition, the company offers managed, IP, and digital platforms services. RM plc was founded in 1973 and is headquartered in Abingdon, the United Kingdom.