Company Reports

Zebra Technologies' second-quarter results came in well above guidance, and it raised its full-year outlook. Sales rose 20% year over year to $1.56 billion (9% organically), and 2026 guidance now calls for 14% to 16% growth, up from 12% to 14%.

We see Zebra Technologies as a crucial partner for supply chain, logistics, and operational efficiency for customers across industry verticals. Zebra has acquired and maintained a dominant share position in the automatic identification and data capture, or AIDC, market (including printing, scanning, and mobile computing) by pivoting into higher-growth technologies over its life. We like the firm’s wide portfolio and its ability to tailor large solutions to specific customer needs.

Zebra's first-quarter results were strong, and management raised its 2026 outlook. Sales rose 14% year on year (4% organically) to $1.5 billion. Non-GAAP operating margin expanded 90 basis points to 21.9%. 2026 guidance rose by the same amount as the first-quarter beat. Shares rose 11% on May 12.

We see Zebra Technologies as a crucial partner for supply chain, logistics, and operational efficiency for customers across industry verticals. Zebra has acquired and maintained a dominant share position in the automatic identification and data capture, or AIDC, market (including printing, scanning, and mobile computing) by pivoting into higher-growth technologies over its life. We like the firm’s wide portfolio and its ability to tailor large solutions to specific customer needs.

Brady Corporation is acquiring Honeywell's productivity solutions and services business for $1.4 billion in cash. The PSS business is Zebra Technologies' largest competitor in automatic identification and data capture, comprising mobile computers, scanners, and printers.

Zebra Technologies reported good fourth-quarter results and provided a strong 2026 outlook. Management expects 9% to 13% growth in 2026, which includes a 5.5% benefit from the recent Elo Touch acquisition. 2026 guidance surpassed FactSet consensus estimates.

We see Zebra Technologies as a crucial partner for supply chain, logistics, and operational efficiency for customers across industry verticals. Zebra has acquired and maintained a dominant share position in the automatic identification and data capture, or AIDC, market (inclusive of printing, scanning, and mobile computing) by pivoting into higher-growth technologies over its life. We like the firm’s wide portfolio and its ability to tailor large solutions to specific customer needs.

Zebra Technologies' third-quarter results came in at the high end of guidance, with sales rising 5% year over year to $1.32 billion. Guidance calls for growth acceleration in the fourth quarter, with inorganic contribution from the newly closed Elo acquisition adding $100 million in revenue.

We see Zebra Technologies as a crucial partner for supply chain, logistics, and operational efficiency for customers across industry verticals. Zebra has acquired and maintained a dominant share position in the automatic identification and data capture, or AIDC, market (inclusive of printing, scanning, and mobile computing) by pivoting into higher-growth technologies over its life. We agree with the firm’s ongoing pivot into software and adjacent technologies, developing platforms internally and through acquisitions to augment and complement its existing portfolio.

Zebra Technologies' second-quarter results approached or exceeded the high ends of guidance, and management raised its full-year 2025 outlook. Zebra also announced the acquisition of Elo Touch Solutions for $1.3 billion in cash. Management expects the deal to close by the end of 2025.

We see Zebra Technologies as a crucial partner for supply chain, logistics, and operational efficiency for customers across industry verticals. Zebra has acquired and maintained a dominant share position in the automatic identification and data capture, or AIDC, market (inclusive of printing, scanning, and mobile computing) by pivoting into higher-growth technologies over its life. We agree with the firm’s ongoing pivot into software and adjacent technologies, developing platforms internally and through acquisitions to augment and complement its existing portfolio.

Zebra Technologies' first-quarter results came in above management's guidance ranges, highlighted by revenue increasing 11% year over year to $1.31 billion. Management reiterated its 3% to 7% growth guidance for 2025 but trimmed its profit guidance to reflect the expected impact of tariffs.

We see Zebra Technologies as a crucial partner for supply chain, logistics, and operational efficiency for customers across industry verticals. Zebra has acquired and maintained a dominant share position in the automatic identification and data capture, or AIDC, market (inclusive of printing, scanning, and mobile computing) by pivoting into higher-growth technologies over its life. We agree with the firm’s ongoing pivot into software and adjacent technologies, developing platforms internally and through acquisitions to augment and complement its existing portfolio.

Zebra Technologies' fourth-quarter sales rose 32% year over year and 6% sequentially to $1.33 billion. First-quarter guidance implies a slight sequential step-down in sales but 10% year-over-year growth. 2025 guidance implies deceleration through the year, with a midpoint of 5% sales growth.

We see Zebra Technologies as a crucial partner for supply chain, logistics, and operational efficiency for customers across industry verticals. Zebra has acquired and maintained a dominant share position in the automatic identification and data capture, or AIDC, market (inclusive of printing, scanning, and mobile computing) by pivoting into higher-growth technologies over its life. We agree with the firm’s ongoing pivot into software and adjacent technologies, developing platforms internally and through acquisitions to augment and complement its existing portfolio.

We raise our fair value estimate for shares of narrow-moat Zebra Technologies to $365, from $340, after raising our short-term growth expectations. Zebra is in the midst of a recovery from a sharp downturn in demand in 2023, and the results in 2024 have been better than we expected. From an initial guide of roughly 1% revenue growth for 2024, we now expect 8% growth. We believe growth can continue at this pace in 2025 with customer inventories at normal levels and end consumer demand returning. Zebra is well set up for long-term growth as it benefits from trends toward digital transformation, despite choppy results following the covid-19 pandemic. Shares are up about 5% in intraday trading on positive results and guidance, and we see Zebra’s stock as fairly valued.

We see Zebra Technologies as a crucial partner for supply chain, logistics, and operational efficiency for customers across industry verticals. Zebra has acquired and maintained a dominant share position in the automatic identification and data capture, or AIDC, market (inclusive of printing, scanning, and mobile computing) by pivoting into higher-growth technologies over its life. We agree with the firm’s ongoing pivot into software, developing platforms internally and through acquisitions to augment and complement its existing portfolio.

We raise our fair value estimate for narrow-moat Zebra Technologies to $340 per share, from $320, following second-quarter earnings results that beat our estimates. Zebra also moderately raised its full-year guidance, which aligns with our expectations of a demand recovery in its end markets over the next two years. Despite sales plunging in 2023 from overordering during the pandemic, global channel inventory levels have now mostly normalized. We lift our estimates to align with updated guidance and our reinforced faith in Zebra’s sticky portfolio of solutions for digital transformation. Shares look fairly valued to us.

We see Zebra Technologies as a crucial partner for supply chain, logistics, and operational efficiency for customers across industry verticals. Zebra has acquired and maintained a dominant share position in the automatic identification and data capture, or AIDC, market (inclusive of printing, scanning, and mobile computing) by pivoting into higher-growth technologies over its life. We agree with the firm’s ongoing pivot into software, developing platforms internally and through acquisitions to augment and complement its existing portfolio.

We maintain our $320 fair value estimate for Zebra Technologies after its 2024 Innovation Day showcase aligned with our positive view of the company and our long-term thesis. Zebra highlighted its product portfolio, customer relationships, and strategy for digital transformation, all of which we liked but weren’t new. We appreciate Zebra’s sticky ecosystem of solutions, comprising integrated hardware, software, and services. We believe these embed deeply in customers and contribute to the firm’s economic moat. Management also reiterated its existing financial targets, which align with our model. We see shares as fairly valued today.