Why is BlackBerry (BBRY) down 7 percent before the Earnings Report today?

I was wondering about this today. Common sense might tell you that investors are not optimistic about the Stock.
The reverse is likely true. It is a game by Hedge fund managers called market manipulation. The dark underbelly of Wall Street.

In a video I stumbled across, literally by accident, Jim Cramer explains the game, using Research in Motion (BlackBerry’s former name) as an example!
I was about to retire for the evening, placed my phone down and turned around and it was playing this video. An omen from the BlackBerry spirits?

I am not a financial guy, I am a tech guy which is why I have invested in BlackBerry.
Today is the ER. What do you think? Manipulative forces at work by the shorts, or is it pessimism about what BlackBerry will tell us today?

Listen to this, you tell me.


Jim Cramer Explains How The Stock Market Is Manipulated


I am a long time BlackBerry user and fan. Beginning with the 7520, I have recognized the value of subtle productivity enhancements in BlackBerry devices for business communication and have never since strayed. Even when the iPhone took the market by storm, I was unimpressed, because it did nothing to help my business needs. Currently enjoying my one handed dream phone, the Classic! BB10 with a toolbelt! Today I contribute to UTB whenever I feel that I can help enlighten someone on the benefits of using BlackBerry over any other platform.

  • nnik

    really annoying that the “blogs” will twist it the way they’re told

  • BB Racer !!

    Let’s remember the master short investor is a BlackBerry Major shareholder ( Prem Watsa) ! If he wants to short squeeze the shorts he has the cash to do it in a split. Shorts are healthy, they provide liquidity, they allow you to accumulate a stock at a cheaper price but Cramer is correct that $20M to $50M bucks could manipulate a stock with half of it coming from leverage ! The Leverage is what eventually kills the shorts !

    • Blackjack

      I see where I got this vid now it was in a previous comment by BB racer. Thanks BB!

  • jrohland

    I have no issue with short, long or “Cedar Chest” (buy and hold) investors. I actually have no problem with investors trying to manipulate the markets. What I have a problem with is the press being influenced by companies. Without an independent press as a watchdog, we get what we have now; massive financial and political shenanigans.

    • Blackjack

      Welcome to the only known independent BlackBerry press, UTBblogs! Our only interest is that Blackberry succeeds despite the manipulation and keeps making us fine toys!

  • veeru789

    Could be profit taking by the short term investors. Since the stock has rallied quite a bit. This is natural.

    • Blackjack

      I would think the short term investors would be investing right now and waiting until after the ER to cash in on the investment. Especially with all the good blackberry news and bad iphone news. That’s why I suspect manipulation by the big guys. There hasn’t been much profit to take.

  • BB Racer !!

    Jrohland: so true…….the media is an absolute joke ! ….Ratings Ratings….and more ratings or else they are fired….and on with the next !!!!

  • mrabody

    I think there’s a mix of reasons for the stock being down. There’s probably some manipulation, but also some profit taking by short term investors. If you bought late last year, or early this year, now is an excellent time to cash out. As long as Chen was slashing costs and turning the company around there was no downside. Even though that process was mostly complete by last earnings call, there was still some ambiguity as the Z3 had only been out two weeks in one market in the relevant period.

    Now is the time to out up or shut up. So if you’re at all risk averse, now is a good time to cash in.

    And it looks like the warnings have been released as I’ve typed this. Mixed bag, with a miss on revenue.

    Update: having read press release, it’s a really good result. EZ Pass up! BBM up! Device sales (recognised hardware) up!

    • Blackjack

      I hadnt realized the Z3 would not factor into this as much as I thought it would. Thanks mrabody.