BlackBerry (NYSE:BB) versus TomTom (OTCMKTS:TMOAF) Critical Review

BlackBerry (NYSE:BB) and TomTom (OTCMKTS:TMOAF) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, dividends, profitability, earnings, analyst recommendations, valuation and institutional ownership.

Earnings & Valuation

This table compares BlackBerry and TomTom”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BlackBerry	$549.10 million	9.43	$53.20 million	$0.08	110.49
TomTom	N/A	N/A	N/A	$0.11	64.10

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

Insider & Institutional Ownership

54.5% of BlackBerry shares are held by institutional investors. Comparatively, 7.9% of TomTom shares are held by institutional investors. 0.5% of BlackBerry shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
BlackBerry	9.69%	10.09%	6.10%
TomTom	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and recommmendations for BlackBerry and TomTom, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BlackBerry	0	7	1	0	2.13
TomTom	0	0	0	0	0.00

BlackBerry presently has a consensus price target of $5.73, suggesting a potential downside of 35.14%. Given BlackBerry’s stronger consensus rating and higher possible upside, equities analysts plainly believe BlackBerry is more favorable than TomTom.

Summary

BlackBerry beats TomTom on 10 of the 11 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 TomTom

TomTom NV is engaged in the developing of location technology including maps, navigation software, real-time traffic information, and other services. It operates through the following segments: Location Technology and Consumer. The Location Technology segment is involved in the developing and selling of location based application components, such as maps, services and navigation software to customers in different market segments. The Consumer segment generates revenue from the sale of portable navigation devices and mobile applications. The company was founded by Pieter Andreas Geelen, Harold Goddijn, Corinne Danièle Goddijn-Vigreux, and Peter-Frans Pauwels in 1991 and is headquartered in Amsterdam, the Netherlands.