Lincolnshire, Illinois-based Zebra Applied sciences Company (ZBRA) gives enterprise asset intelligence options within the automated identification and knowledge seize options business worldwide. Valued at $11.7 billion by market cap, Zebra operates by way of Asset Intelligence & Monitoring and Enterprise Visibility & Mobility segments.
Zebra Applied sciences has considerably underperformed the broader market over the previous yr. ZBRA inventory has tanked 40.6% over the previous 52 weeks and 40.9% on a YTD foundation, in comparison with the S&P 500 Index’s ($SPX) 10.5% beneficial properties over the previous yr and 11.2% returns in 2025.
Narrowing the main target, Zebra has additionally underperformed the sector-focused Know-how Choose Sector SPDR Fund’s (XLK) 17.8% surge over the previous 52 weeks and 17% beneficial properties on a YTD foundation.
Regardless of reporting better-than-expected financials, Zebra Applied sciences’ inventory worth dropped 11.7% within the buying and selling session following the discharge of its Q3 outcomes on Oct. 28. The corporate’s natural gross sales for the quarter noticed a notable improve, resulting in a stable 5.2% year-over-year progress in web gross sales to $1.3 billion, beating the Avenue’s expectations by 71 bps. Additional, its adjusted EPS elevated 11.2% year-over-year to $3.88, surpassing the consensus estimates by 3.5%.
Nonetheless, the corporate’s This autumn gross sales outlook considerably dampened investor confidence. Zebra expects its This autumn gross sales to develop by 8% to 11% year-over-year. Nonetheless, this contains an 8.5% favorable impression from acquisitions and international forex translation.
For the total fiscal 2025, ending in December, analysts anticipate ZBRA to ship an adjusted EPS of $15.83, up 17.1% year-over-year. The corporate has a stable earnings shock historical past. It has surpassed the Avenue’s bottom-line estimates in every of the previous 4 quarters.
Among the many 17 analysts masking the ZBRA inventory, the consensus ranking is a “Average Purchase.” That’s based mostly on 10 “Sturdy Buys,” one “Average Purchase,” 5 “Holds,” and one “Sturdy Promote.”
This configuration is barely much less optimistic than a month in the past, when not one of the analysts masking ZBRA gave “Sturdy Promote” suggestions on the inventory.
