A month has passed by because the final earnings report for Zebra Applied sciences (ZBRA). Shares have added about 5.7% in that timeframe, outperforming the S&P 500.
Will the latest optimistic development proceed main as much as its subsequent earnings launch, or is Zebra due for a pullback? Earlier than we dive into how traders and analysts have reacted as of late, let’s take a fast take a look at the latest earnings report in an effort to get a greater deal with on the vital catalysts.
Zebra Applied sciences Q3 Earnings & Revenues High Estimates, Rise Y/Y
Zebra Applied sciences reported third-quarter 2024 adjusted earnings of $3.49 per share, which surpassed the Zacks Consensus Estimate of $3.24. The underside line elevated considerably from 87 cents reported within the year-ago quarter.
Whole revenues of $1.26 billion surpassed the consensus estimate of $1.21 billion. The highest line elevated 31.3% 12 months over 12 months, pushed by power within the Enterprise Visibility & Mobility and Asset Intelligence & Monitoring items. Consolidated natural internet gross sales elevated 30.6% 12 months over 12 months. International-currency translation had a optimistic influence of 0.7% on complete revenues.
Segmental Efficiency
Revenues from the Asset Intelligence & Monitoring section rose 26.5% 12 months over 12 months to $410 million. The Zacks Consensus Estimate for segmental revenues was pegged at $391 million. Natural internet gross sales elevated 25.8%. International-currency translation had a optimistic influence of 0.7% on segmental revenues.
The Enterprise Visibility & Mobility section’s revenues totaled $845 million, up 33.7% 12 months over 12 months. The consensus estimate for segmental revenues was pegged at $819 million. Natural internet gross sales elevated 33%. International-currency translation had a optimistic influence of 0.7%.
Margin Profile
Within the third quarter, Zebra Applied sciences’ value of gross sales totaled $642 million, up 21.4% 12 months over 12 months. Whole working bills decreased 3.9% 12 months over 12 months to $422 million.
The corporate reported a internet earnings of $137 million towards a lack of $15 million within the year-ago interval.
Steadiness Sheet and Money Move
Zebra Applied sciences had money and money equivalents of $676 million on the finish of the third quarter in contrast with $137 million on the finish of December 2023. Lengthy-term debt totaled $2.08 billion in contrast with $2.05 billion on the finish of December 2023.
Within the first 9 months of 2024, Zebra Applied sciences generated internet money of $707 million in working actions towards $145 million money used within the year-ago interval. The corporate incurred a capital expenditure of $41 million in the identical timeframe. Free money influx amounted to $665.9 million towards free money outflow of $193 million within the year-ago interval.
Steering
For the fourth quarter, Zebra Applied sciences expects internet gross sales to extend within the band of 28-31% 12 months over 12 months. International-currency translation is anticipated to have a positive influence of 1%.
Adjusted EBITDA margin is anticipated to be 22% within the fourth quarter. Adjusted earnings per share are anticipated to be within the band of $3.80-$4.00. The efficient tax charge is anticipated to be 17%.
For 2024, it expects free money circulation to be a minimum of $850 million.
How Have Estimates Been Shifting Since Then?
It seems, estimates assessment have trended upward throughout the previous month.
The consensus estimate has shifted 20.96% resulting from these adjustments.
VGM Scores
At present, Zebra has a pleasant Development Rating of B, although it’s lagging loads on the Momentum Rating entrance with an F. Following the very same course, the inventory was allotted a grade of F on the worth aspect, placing it within the fifth quintile for this funding technique.
General, the inventory has an combination VGM Rating of D. In case you aren’t targeted on one technique, this rating is the one try to be fascinated by.
Outlook
Estimates have been trending upward for the inventory, and the magnitude of those revisions seems promising. It comes with little shock Zebra has a Zacks Rank #1 (Robust Purchase). We count on an above common return from the inventory within the subsequent few months.
Efficiency of an Trade Participant
Zebra belongs to the Zacks Manufacturing – Thermal Merchandise business. One other inventory from the identical business, John Bean (JBT), has gained 8.3% over the previous month. Greater than a month has handed because the firm reported outcomes for the quarter ended September 2024.
JBT reported revenues of $453.8 million within the final reported quarter, representing a year-over-year change of +12.4%. EPS of $1.50 for a similar interval compares with $1.11 a 12 months in the past.
JBT is anticipated to publish earnings of $1.83 per share for the present quarter, representing a year-over-year change of +30.7%. Over the past 30 days, the Zacks Consensus Estimate has modified -1%.
The general route and magnitude of estimate revisions translate right into a Zacks Rank #3 (Maintain) for JBT. Additionally, the inventory has a VGM Rating of B.
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Zebra Technologies Corporation (ZBRA) : Free Stock Analysis Report
John Bean Technologies Corporation (JBT) : Free Stock Analysis Report
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