Zebra Technologies Stock Jumped 20% Today on the Best Problem in Tech
Written by Anders Bylund for The Motley Fool -> Adjusted second-quarter earnings of $6.35 per share landed $1.99 above the consensus, and above the company's own guidance. Management raised full-ye…
Adjusted second-quarter earnings of $6.35 per share landed $1.99 above the consensus, and above the company's own guidance.
Management raised full-year EPS guidance to $20.75-$21.25, up from May's $18.30-$18.70 range.
Memory chip supply, not customer demand, sets the ceiling on Zebra's revenue outlook.
Zebra Technologies (NASDAQ: ZBRA) stock broke into a run on Tuesday morning, up 20.3% as of 11 a.m. ET. The rugged-device and asset-tracking specialist reported strong second-quarter results before the opening bell, and the stock is now trading at fresh 52-week highs.
Zebra's adjusted earnings hit $6.35 per share. Analyst consensus was $4.36. Zebra's own guidance in May topped out at $4.50, so management beat the optimistic end of its own homework by 41%. Sales rose 20.4% to $1.56 billion, with organic growth of 9.2% and gains in every region.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
A $73 million tariff recovery flattered the quarter, and only $41 million of that promised payback has materialized as cash so far.
But that's OK. Strip out the tariff payback benefits, and earnings still come in near $5.10 per share. Zebra's beat survives the tariff asterisk.
Read Full Story at Nasdaq News →
