This week is off to a great start for BlackBerry (NYSE:BB) stock thanks to a positive update. Specifically, the tech company just announced the release of a new series of tracking devices for hazardous materials carriers this morning.
The asset tracking solution, called BlackBerry Radar, is designated as “Intrinsically Safe” — a prestigious designation that is “the highest level of safety available for the transport of hazardous goods.” BlackBerry Radar is designed to “target transportation and logistics companies that move hazardous materials, including fuel haulers, tank carriers, ocean shipping lines and railroads.”
What does this mean for the company’s long-term growth prospects? Let’s take a closer look and assess what investors can expect from BlackBerry in the second half of 2023.
What This Means for BB Stock
Today’s news has snapped BB stock’s five-day losing streak. Shares of the company closed up by almost 15% today on the announcement. That has BlackBerry well-positioned to pull itself out of the red this week as well. Despite recent declines, it has also been a solid month of gains for the stock.
Now, BlackBerry is starting the third quarter off on an excellent note. The new BlackBerry Radar is being released at a time when the need for safe tech related to hazardous waste transport is top of mind, following multiple railroad incidents. Indeed, demand for this type of technology may only increase from here, helping BB rise even further in the process.
In a statement, Senior Vice President and General Manager of BlackBerry Radar Christopher Plaat noted:
“BlackBerry Radar devices are extremely reliable and robust, even in extreme conditions such as dirt, snow, or high temperatures. The new series takes that one step further, providing peace of mind to hazardous materials carriers in the oil and gas, chemicals and agricultural sectors […] Gaining the Intrinsically Safe and C1/D1 certifications validates our best-in-class technology. We look to further grow our leadership position within an industry that is ripe for digital transformation, creating new options for transport and logistics companies around the world.”
Despite its status as a meme stock, BlackBerry has been touted for its applications in both artificial intelligence (AI) and cybersecurity before. Now, BB is on the verge of securing a share of another profitable market. While some investors may not think much about hazardous waste transportation, that doesn’t mean it isn’t a sector worth considering. Exposure to this new marker is boosting BB stock right now — and will likely continue to do so.
On the date of publication, Samuel O’Brient did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
