UPDATE: Nomura Lowers PT on BlackBerry Following Q2 Headline Results Miss

In a report published Monday, Nomura analyst Stuart Jeffrey reiterated a Neutral rating on BlackBerry Ltd. (NASDAQ: BBRY), but lowered the price target from $10.00 to $9.00.

In the report, Nomura noted, “BlackBerry pre-announced Q2 headline results, saying that revenues will be around $1.6bn (consensus was $3.1bn), that an inventory write-down would total $930-960m, that adjusted net loss would hit $250-265m, and that cash outflow would total nearly $500m. This might just be the worst miss that we have seen in 17 years of covering tech stocks. Management has announced more headcount cuts, a further slimming down of the handset portfolio, and an exit from the consumer market. Many IT departments have started looking at BlackBerry alternatives. The board still has no update on its search for strategic alternatives. In the absence of an announcement on strategic options by the board, management can only try to manage the pace of declines.”

BlackBerry Ltd. closed on Friday at $8.73.