Apple Inc. (AAPL), Research In Motion Ltd (BBRY): Department of Defense Replaces BlackBerry With iOS?

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Let’s compare Apple Inc. (NASDAQ:AAPL)’s metrics to Research In Motion Ltd (NASDAQ:BBRY)’s from an investment standpoint. Apple’s gross margins are 43.9% while BlackBerry’s are 35.7%. esearch In Motion Ltd (NASDAQ:BBRY)’s revenues dropped 7.3% in 2012, while Apple’s increased 44.58%. In a ten year period, BlackBerry’s revenues have increased approximately 6,005%, while Apple’s have increased $2,521%. Apple’s earnings per share (EPS) have risen for ten consecutive years, and BlackBerry’s have increased eight of the past ten years. YTD, BlackBerry’s stock has increased 12.55% and Apple’s has fallen 16.56%. Apple Inc. (NASDAQ:AAPL) currently shows a FCF yield of 10.8%, 1.1% higher than esearch In Motion Ltd (NASDAQ:BBRY)’s. The chart below shows a graph comparing these stocks.



BBRY data by YCharts

One interesting topic to note is how Thorsten Heins, esearch In Motion Ltd (NASDAQ:BBRY)‘s CEO, recently did an interview in which he stated Apple was “standing still” and eluded to how they used to be a successful company. He discussed how the iPhone’s interface is five years old and how Apple is basically outdated. Almost instantly this report comes out that because of BlackBerry’s advancing technology, the DOD is moving in a new direction with Apple Inc. (NASDAQ:AAPL). I think we would all appreciate something a little more improved by Apple (as the last few upgrades have been fairly minimal), but apparently Apple may be wise to not move so quickly.

The Foolish Bottom Line…

I believe both companies are solid and may offer good opportunities for the right investors. With the recent (and upcoming) releases of the BB10, esearch In Motion Ltd (NASDAQ:BBRY) may be a valid investment in the short term. Apple Inc. (NASDAQ:AAPL), despite its short term loss, may still be a valid long term investment.

The article Department of Defense Replaces BlackBerry With iOS? originally appeared on Fool.com and is written by Tyler Wofford.

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