KeyBanc upgrades Zebra on early signs for demand inflection

KeyBanc last night upgraded Zebra Technologies (ZBRA) to Overweight from Sector Weight with a $305 price target The views the company’s Q1 results as strong and believes the limited visibility into longer-term memory cost trends may already be priced into the shares. Zebra’s inflecting short cycle demand, improving cost execution, and management’s conservative guidance track record could bring upside to consensus estimates and multiple expansion, the analyst tells investors in a research note. KeyBanc thinks the company’s Q1 results reflect early signs of a broader inflection in short-cycle industrial demand.