Contrasting BlackBerry (NYSE:BB) and CrowdStrike (NASDAQ:CRWD)

BlackBerry (NYSE:BB) and CrowdStrike (NASDAQ:CRWD) are both computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, risk, earnings, institutional ownership, analyst recommendations, profitability and dividends.

Institutional and Insider Ownership

54.5% of BlackBerry shares are owned by institutional investors. Comparatively, 71.2% of CrowdStrike shares are owned by institutional investors. 0.3% of BlackBerry shares are owned by insiders. Comparatively, 4.3% of CrowdStrike shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current recommendations and price targets for BlackBerry and CrowdStrike, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BlackBerry	0	5	3	1	2.56
CrowdStrike	2	11	29	1	2.67

BlackBerry currently has a consensus target price of $3.91, suggesting a potential downside of 9.54%. CrowdStrike has a consensus target price of $399.51, suggesting a potential upside of 10.29%. Given CrowdStrike’s stronger consensus rating and higher probable upside, analysts plainly believe CrowdStrike is more favorable than BlackBerry.

Valuation & Earnings

This table compares BlackBerry and CrowdStrike”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BlackBerry	$638.00 million	4.04	-$130.00 million	($0.22)	-19.66
CrowdStrike	$3.95 billion	22.71	$89.33 million	($0.08)	-4,528.00

CrowdStrike has higher revenue and earnings than BlackBerry. CrowdStrike is trading at a lower price-to-earnings ratio than BlackBerry, indicating that it is currently the more affordable of the two stocks.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
BlackBerry	-21.16%	-2.02%	-1.13%
CrowdStrike	3.39%	7.11%	2.72%

Volatility and Risk

BlackBerry has a beta of 1.27, suggesting that its stock price is 27% more volatile than the S&P 500. Comparatively, CrowdStrike has a beta of 1.19, suggesting that its stock price is 19% more volatile than the S&P 500.

Summary

CrowdStrike beats BlackBerry on 13 of the 14 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 CrowdStrike

CrowdStrike Holdings, Inc. provides cybersecurity solutions in the United States and internationally. Its unified platform offers cloud-delivered protection of endpoints, cloud workloads, identity, and data. The company offers corporate endpoint and cloud workload security, managed security, security and vulnerability management, IT operations management, identity protection, SIEM and log management, threat intelligence, data protection, security orchestration, automation and response and AI powered workflow automation, and securing generative AI workload services. It primarily sells subscriptions to its Falcon platform and cloud modules. The company was incorporated in 2011 and is headquartered in Austin, Texas.