Apart from phones, BlackBerry also holds a portfolio of about 7,600 patents. These patents are estimated to be valued around $1 billion to $4 billion depending on the analyst. Scotiabank, being one of them, values the patents at $2.25 billion.
Aside from patents, the entire balance sheet looks very strong. The company’s net assets are worth $9.5 billion, which even exceeds its market cap of $7.4 billion. Its current liabilities are also well financed with a net working capital of $3.4 billion. Further, it has no debt on its balance sheet. So it appears as long as the phones sell, an investment in BlackBerry appears safe from any big downside risk.
Amazingly, Apple and Samsung sell orders of magnitude more devices than Blackberry does, without this magic Intellectual Property and without these 7600 patents. That should tell you something about the actual value of those patents, no?
nortel shareholders said the same stuff,cash and patents,its now a 40 cent stock trading as it works to sell its remaining patents.blackberry is in even worse shape,it faces compitition from apple,msf/nok and samsung all with mkt share and deep pockets as well as other interests.bbry has non,beyond a decent balance sheet,that will devalue if things dont change.to bulls wheres the growth and really wheres the opps
I don't buy your analogy. Nortel was WAY bigger in comparison... The company's economic relationship with Canada was gargantuan. A more appropriate analogy would be General Motors of the early 20th century or Apple in the 90s.
"nortel shareholders said the same stuff,cash and patents,its now a 40 cent stock trading as it works to sell its remaining patents"
That situation is now closer to BBRY than Nortel, which long ago sold everything it had, and "trades" at $0.005
And yes, daydreaming Nortel longs said the same things as BBRY longs, and PALM, etc etc. Always that way with the least talented amateurs. Decent to warn them, before taking their money.