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7 Big-Name Stocks Set to Crash

Don't get too comfortable with these well-known companies

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Blackberry 185What can you say about BlackBerry (BBRY) other than this stock isn’t long for this world? Despite a buyout offer of $9 per share from Canadian investing icon Prem Watsa and his Fairfax Financial firm, the stock regularly trades under $8 because investors simply don’t think there is enough will or financing to get the deal done at $9.

Oh yeah, and then there’s the fact that the company becomes worth less and less with each passing day as restructuring charges mount and BBRY continues to bleed cash.

After all, the company launched a jumbo Z30 device in September even as it was circling the drain — a testament either to the naivety or stubbornness of executives who thought anyone would want to sign on for a new device from an old company about to evaporate.

BlackBerry has taken to the internet and print newspapers with an ad blitz to insist it won’t disappear … but who are you going to believe — BlackBerry marketing or a stock that is suffering terminal decline in revenue and device sales?

If you are thinking of bargain hunting in BBRY for the buyout premium, think again. Anyone who finds part of BlackBerry attractive can simply wait the company out until it sells itself for parts at fire sale prices, or even until it descends into bankruptcy when they can pick the carcass clean.

BBRY is down 35% in 2013 and 55% from its spring highs, but don’t think that means it can’t go lower.

Article printed from InvestorPlace Media,

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