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Zebra Technologies (ZBRA) Stock Sinks As Market Gains: What You Should Know

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Zebra Technologies (ZBRA - Free Report) closed the most recent trading day at $490.56, moving -0.73% from the previous trading session. This move lagged the S&P 500's daily gain of 0.28%. Elsewhere, the Dow gained 0.29%, while the tech-heavy Nasdaq added 0.16%.

Heading into today, shares of the producer of printers for bar codes, plastic cards and, radio-frequency identification tags had lost 15.15% over the past month, lagging the Industrial Products sector's loss of 3.12% and the S&P 500's loss of 5.39% in that time.

Zebra Technologies will be looking to display strength as it nears its next earnings release. In that report, analysts expect Zebra Technologies to post earnings of $4.32 per share. This would mark a year-over-year decline of 3.14%. Our most recent consensus estimate is calling for quarterly revenue of $1.45 billion, up 10.6% from the year-ago period.

Investors should also note any recent changes to analyst estimates for Zebra Technologies. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Zebra Technologies currently has a Zacks Rank of #2 (Buy).

Digging into valuation, Zebra Technologies currently has a Forward P/E ratio of 25.65. For comparison, its industry has an average Forward P/E of 22.69, which means Zebra Technologies is trading at a premium to the group.

The Manufacturing - Thermal Products industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 233, putting it in the bottom 9% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow ZBRA in the coming trading sessions, be sure to utilize Zacks.com.


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