BlackBerry‘s (BB) rebound was a surprise for investors. Its shares are up about 109% year to date, and a new earnings report is just one week away. Most of that gain has come from a business that has almost nothing to do with the phones that once made the company famous.
On the Sept. 17 episode of CNBC’s “Mad Money,” a caller asked Jim Cramer about the stock’s recent pullback, and the host told viewers to buy. BlackBerry is preparing to post its second-quarter fiscal 2027 results on Sept. 24. That means investors now have to weigh Cramer’s buy call against the report.
The numbers will tell investors whether the turnaround under CEO John Giamatteo remains on track, and whether the stock’s recent pullback resulted from wider market pressure.
Cramer’s lightning round buy call on BlackBerry stock
During the lightning round, Cramer told the caller, “Buy, buy, buy. We’ve had the company on. I am surprised that it came back down, but there’s been a lot of selling in some very good stocks,” according to CNBC.
Cramer has been positive about BlackBerry for months. On the June 10 lightning round, he told a different caller that “BlackBerry is good,” and added that his team had already been researching the technology and had planned a dedicated segment, CNBC reported.
In late July, he hosted Giamatteo on “Mad Money” to walk through the company’s shift into automotive and robotics software.
Cramer, who has hosted the show since 2005, rarely revisits the same mid-cap name three times in a single year. His current stance places him on the bullish side of Wall Street.
How BlackBerry actually makes money in 2026
BlackBerry is no longer the smartphone maker most Americans remember. Today, the company runs two software businesses. QNX, its embedded operating system, sits inside more than 275 million vehicles, according to BlackBerry. You can also find it inside robots, medical devices, and industrial machines.
Secure Communications sells encrypted messaging and critical event management tools to governments. Its AtHoc emergency alerting platform is used by roughly 80% of U.S. federal agencies.
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The company sold off its Cylance cybersecurity unit last year to sharpen that focus, according to its SEC filing, and the decision is starting to show up in the numbers.
In its first-quarter fiscal 2027 results reported on June 25, BlackBerry posted revenue of $152.9 million, ahead of the $136 million Wall Street expected. It also delivered its fifth straight quarter of GAAP profit.
Adjusted EBITDA increased by 144% year over year in Q1, and management pointed to a QNX royalty backlog of roughly $1 billion.
“Both our QNX and Secure Communications divisions continue to execute effectively against their strategies, beating both top line and profitability expectations,” Giamatteo said in the June earnings release.
What Wall Street wants to see in the fiscal second-quarter print
According to Defense World, analysts expect adjusted earnings of 4 cents a share on revenue of about $144 million, which is in line with the company’s own guidance of $137 million to $148 million and 3 to 4 cents per share. Full-year fiscal 2027 guidance is at $594 million to $621 million.
The most closely watched line will be QNX. Stifel Canada analyst Suthan Sukumar, who initiated coverage in June with a Buy rating and a $12 price target, expects design-win momentum to keep expanding, despite weak global auto production.
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Sukumar, Stifel’s head of Canadian technology research with more than 15 years of sector experience, wrote that “the market still misdefines BlackBerry” and described the company as “a mission-critical software layer in the physical AI stack and a dominant partner to silicon leaders like NVIDIA, Qualcomm, and AMD.”
He also expects general embedded markets, which include factories and robotics, to keep growing beyond their current 20% share of QNX revenue. Any improvement there in the report would validate Cramer’s bull case.
The risks worth considering before following Cramer’s call
Wall Street consensus on BlackBerry still sits closer to Hold than Buy. Baird analyst Luke Junk maintained a Neutral rating with a $5 price target after the last earnings report, and Canaccord Genuity’s Kingsley Crane also maintains a Hold rating with a $4.60 target, Benzinga reported.
The Secure Communications business has been growing more slowly than QNX and remains sensitive to federal budget cycles. The stock also trades at a premium valuation, with a price-to-earnings ratio near 79. Such a high multiple leaves no room for error if next week’s results hit the low end of expectations.
Investors who want to follow Cramer’s call should allocate capital conservatively. A disappointing QNX royalty result, or cautious full-year commentary from Giamatteo, could quickly reprice the stock.
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