We recently compiled a list of the 15 Software Infrastructure Stocks Outperforming In 2025. In this article, we are going to take a look at where BlackBerry Limited (NYSE:BB) stands against the other software infrastructure stocks.
Software stocks had a troubling end to the last year and some even continued to fall during January. After a solid year, profit-taking would have been acceptable. However, the continuous decline in January had investors worried, with some media personalities calling it the end of software stocks.
It didn’t take the market long to change its views though. In general, software stocks are not as negatively impacted by tariffs as hardware stocks. Since Trump took over, people have been evaluating their options and with tariffs on the horizon, found software to be a relatively safe sector.
There were some concerns on the AI front as well. The emergence of DeepSeek AI has meant that companies in the US may not be willing to spend more on their AI ventures. Similarly, businesses could simply use DeepSeek’s much cheaper technology, causing downward pressure on subscription prices for instance. So far, none of this looks like becoming a reality, so on the back of solid earnings, most software stocks have comfortably outperformed the market.
We decided to take a look at the top 15 stocks that are outperforming the market so far this year. To come up with our list of 15 software infrastructure stocks outperforming in 2025, we only considered stocks with a market cap of at least 2 billion that were outpacing the broader market till the end of last week.
A research engineer surrounded by hardware, demonstrating the company’s secure container offerings.
BlackBerry Limited (NYSE:BB)
BlackBerry Limited is an intelligent security services and software provider to governments and enterprises. It operates in IoT (internet of things), cybersecurity, and licensing & other segments. The company provides CylanceGUARD, CylanceINTELLIGENCE™, CylanceEDGE, BlackBerry Messenger (BBM) Enterprise, BlackBerry SecuSUITE, CylanceENDPOINT, and other solutions. The company’s stock is up 39% so far this year and its 1-year returns are closing in on 100%.
Blackberry’s turnaround story has underwhelmed and were it not for its strange involvement in a meme-stock rally last year, its returns would have been muted. But the recent optimism points to the possibility of improving fundamentals and we look at why that’s the case.
BlackBerry in December finally got rid of Cyclane, a division that was a drag on its business. It sold it at a fraction of the original acquisition cost but the company can now focus on other parts of the business. This news was well-received by investors as well and the stock has been on an uptick since.
The company’s recent partnership with Microsoft also inspires confidence. As software-defined vehicles become the norm, Blackberry’s technology becomes more and more relevant, though arguably the competition also rises. The company’s QNX system which is already used in many vehicles could soon be available on Microsoft Azure after this partnership.
Overall BB ranks 2nd on our list of the software infrastructure stocks outperforming in 2025. While we acknowledge the potential of BB as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as BB but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article was originally published at Insider Monkey.