Zebra Tech (ZBRA) AI Stock Analysis

• Market Cap: $13.23B
• Dividend Yield: N/A
• Average Volume (3M): 635.00K
• Price to Earnings (P/E): 25.6
• Beta (1Y): 1.58
• Revenue Growth: 13.35%
• EPS Growth: 34.73%
• Country: US
• Employees: 9,900
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): 3.88
• Shares Outstanding: 50,660,240
• 10 Day Avg. Volume: 507,981
• 30 Day Avg. Volume: 634,995
• PEG Ratio: 0.48
• Price to Book (P/B): 5.55
• Price to Sales (P/S): 3.99
• P/FCF Ratio: 20.85
• Enterprise Value/Market Cap: 1.26
• Enterprise Value/Revenue: 3.17
• Enterprise Value/Gross Profit: 6.55
• Enterprise Value/Ebitda: 15.65
• 1Y Price Target: $353.67
• Price Target Upside: 39.09% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 15.81
• Revenue Forecast (FY): $5.39B

• Rating: 71 Outperform
• Price Target: $292.00 ▲(14.84% Upside)

Zebra Technologies' overall stock score reflects strong financial performance and strategic growth initiatives, such as the Elo Touch Solutions acquisition. However, technical indicators suggest potential bearish momentum, and valuation metrics indicate moderate attractiveness. The company's optimistic outlook and strategic focus on high-growth areas are key strengths, despite challenges in profitability and cash flow efficiency.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.

Strategic Acquisition

The acquisition expands Zebra's market reach and product offerings, enhancing its competitive position in key industries.

Strong Free Cash Flow

Robust free cash flow generation provides financial flexibility for strategic investments and shareholder returns.

Negative Factors

Profitability Pressure

Declining profit margins suggest challenges in cost control and pricing power, potentially impacting long-term profitability.

Tariff Impact

Tariff-related cost increases can erode margins, affecting overall financial performance and competitiveness.

Cash Flow Challenges

Reduced cash flow efficiency may limit the company's ability to fund operations and growth initiatives sustainably.

Zebra Tech Business Overview & Revenue Model

Company Description

Zebra Tech (ZBRA) is a leading technology company that specializes in providing innovative solutions for enterprise asset intelligence. The company operates primarily in the sectors of automation, data capture, and inventory management. Zebra Tech's core products include mobile computing devices, barcode scanners, RFID solutions, and software applications that enhance visibility and operational efficiency in supply chains, retail, and manufacturing environments.

How the Company Makes Money

Zebra Tech generates revenue through multiple streams, primarily by selling hardware products such as barcode scanners, mobile computers, and RFID systems, which are essential for tracking and managing assets in various industries. Additionally, the company offers software solutions that enhance data analytics and operational efficiency, creating recurring revenue through software licenses and subscriptions. Services like system integration, maintenance, and technical support also contribute to its earnings. Zebra Tech has established significant partnerships with various enterprises across different sectors, further driving sales through bundled offerings and integrated solutions that meet the specific needs of its clients.

Zebra Tech Financial Statement Overview

Summary

Zebra Tech demonstrates strong revenue growth and effective cost management, evidenced by a robust gross profit margin. However, there are signs of pressure on profitability and operational efficiency, as seen in the declining net profit and EBIT margins. The balance sheet is stable with improved leverage ratios, while cash flow management shows some challenges in cash generation.

Income Statement

Zebra Tech shows strong revenue growth in the TTM period with a 5.5% increase from the previous year. The gross profit margin remains robust at 48.39%, indicating effective cost management. However, the net profit margin has slightly decreased to 9.74% from 10.60% in the previous year, suggesting some pressure on profitability. The EBIT and EBITDA margins have also declined, reflecting potential challenges in operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.62, indicating a healthier balance between debt and equity compared to previous years. Return on equity is solid at 14.05%, although it has slightly decreased from the previous year. The equity ratio stands at 46.45%, showing a stable financial structure. Overall, the balance sheet reflects a stable financial position with manageable leverage.

Cash Flow

Operating cash flow has decreased, impacting the operating cash flow to net income ratio, which is now at 0.54. Free cash flow has also declined, resulting in a negative growth rate of -7.15%. The free cash flow to net income ratio remains strong at 0.91, indicating efficient cash generation relative to net income. The cash flow statement suggests some challenges in cash generation, but overall cash management remains effective.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.25B	4.98B	4.58B	5.78B	5.63B	4.45B
Gross Profit	2.54B	2.41B	2.12B	2.62B	2.63B	2.00B
EBITDA	1.06B	937.00M	761.00M	1.14B	1.16B	782.00M
Net Income	512.00M	528.00M	296.00M	463.00M	837.00M	504.00M
Balance Sheet
Total Assets	8.07B	7.97B	7.31B	7.53B	6.21B	5.38B
Cash, Cash Equivalents and Short-Term Investments	1.05B	901.00M	137.00M	105.00M	332.00M	168.00M
Total Debt	2.36B	2.36B	2.41B	2.34B	1.15B	1.40B
Total Liabilities	4.32B	4.38B	4.27B	4.80B	3.23B	3.23B
Stockholders Equity	3.75B	3.59B	3.04B	2.73B	2.98B	2.14B
Cash Flow
Free Cash Flow	792.00M	954.00M	-91.00M	413.00M	1.01B	895.00M
Operating Cash Flow	866.00M	1.01B	-4.00M	488.00M	1.07B	962.00M
Investing Cash Flow	-136.00M	-57.00M	-92.00M	-968.00M	-546.00M	-641.00M
Financing Cash Flow	-349.00M	-190.00M	117.00M	253.00M	-371.00M	-157.00M

Zebra Tech Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 254.27
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ZBRA, the sentiment is Negative. The current price of 254.27 is below the 20-day moving average (MA) of 255.54, below the 50-day MA of 267.91, and below the 200-day MA of 288.02, indicating a bearish trend. The MACD of 0.37 indicates Negative momentum. The RSI at 43.60 is Neutral, neither overbought nor oversold. The STOCH value of 24.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ZBRA.

Zebra Tech Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ERIC	74 Outperform	$32.13B	12.95	25.45%	2.55%	1.04%	―
ZBRA	71 Outperform	$13.23B	25.64	14.29%	―	13.35%	34.73%
MSI	70 Neutral	$60.60B	29.20	115.80%	1.20%	6.17%	35.41%
HPE	68 Neutral	$32.05B	-315.22	0.23%	2.27%	14.00%	-102.25%
NOK	66 Neutral	$34.59B	35.40	4.03%	2.37%	5.05%	115.92%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
PI	56 Neutral	$4.85B	-381.07	-7.49%	―	4.24%	-141.83%

Zebra Tech Corporate Events

Zebra Tech Appoints New Chief People Officer

On November 24, 2025, Zebra Technologies announced the appointment of Melissa Luff Loizides as the new Chief People Officer, effective January 1, 2026, succeeding Jeff Schmitz who will retire in the second quarter of 2026. This leadership change underscores Zebra’s commitment to strategic succession planning and the integration of Elo, with Luff Loizides bringing over 25 years of HR experience to support the company’s growth and cultural advancement.

Zebra Tech Adopts New Majority Vote Standard

On October 30, 2025, Zebra Tech‘s Board of Directors implemented new by-laws to establish a majority vote standard for uncontested director elections, requiring directors to receive more votes in favor than against to be elected. This change aims to enhance governance standards and ensure that elected directors have substantial support from shareholders, potentially impacting the company’s decision-making and aligning with shareholder interests.

Zebra Tech’s Chief Officer Resigns for New Opportunity

On October 15, 2025, Joseph R. White announced his resignation from Zebra Technologies Corporation as Chief Product & Solutions Officer, effective November 7, 2025, to pursue another opportunity.

Zebra Tech Completes Acquisition of Elo Touch Solutions

On October 1, 2025, Zebra Technologies announced the completion of its acquisition of Elo Touch Solutions for approximately $1.3 billion, following the transaction closure on September 30, 2025. This strategic acquisition enhances Zebra’s market position in customer-facing workflows, expanding its addressable market by $8 billion and allowing it to offer a unified platform across mobile and fixed digital touchpoints, thereby improving frontline efficiency and customer service in industries such as retail, hospitality, and healthcare.