Zebra Technologies Corp. (ZBRA) – In-Depth Investment Thesis

Article by Dilantha De Silva

Investment thesis

The 17% price return of Zebra Technologies Corp. (NASDAQ:ZBRA) shares in the last 12 months came on the back of a strong financial performance from the company. Organizations around the world are continuing to shift to a more data-driven approach to business decision making, which is proving to be a secular trend that helps companies such as Zebra Technologies who facilitate this shift. Keeping in mind the possibility of an economic recession, investing cautiously in high-growth companies is the way to go, and Zebra Technologies has the potential to remain profitable and competitive even under adverse economic conditions. Such is the nature of the industry the company operates in, and company fundamentals support this bull thesis. ZBRA is a buy with a target price of $287.

Q1 hedge fund letters, conference, scoops etc

• Recommendation: Buy
• 52-week range: $136.16 – $237.15
• Upside: 60%
• Investment time horizon: 1-2 years

(Source – Author prepared using data from Yahoo Finance)

Business description

Zebra Technologies designs a suite of products for the automatic identification and data capture market including mobile computers, barcode scanners, RFID readers, specialty printers for barcode labeling and personal identification, and related software and supplies. The company recognizes its revenues under two business segments.