Stifel initiated coverage with a Buy rating and $12 price target, citing BlackBerry’s QNX operating system supporting a $950 million royalty backlog and emerging physical AI applications. Secure Communications ARR rose 5%, and fiscal 2027 revenue is forecast to reach $602 million with EBITDA of $122 million.
Stifel initiated coverage of BlackBerry with a Buy rating and a $12 price target, highlighting the company's shift from an automotive software supplier to a mission-critical layer for AI-enabled vehicles, robotics, industrial automation and medical devices.
BlackBerry’s QNX operating system generated a royalty backlog of roughly $950 million in fiscal 2026, providing multi-year revenue visibility and integration alongside computing platforms from Nvidia, Qualcomm and AMD.
The Secure Communications division delivered 5% year-over-year ARR growth in the latest quarter, driven by new government contracts including the U.S. Internal Revenue Service and Germany’s Bundesbank.
Stifel projects fiscal 2027 revenue of about $602 million and adjusted EBITDA of $122 million, up from fiscal 2026, and anticipates fiscal first-quarter revenue near $136 million with EBITDA of $21.5 million.
