Zebra Technologies Corporation ZBRA is slated to release second-quarter 2024 results on Jul 30, before market open.
The Zacks Consensus Estimate for earnings has remained stable in the past 60 days. The company has a decent earnings surprise history, having outperformed the consensus estimate in three of the preceding four quarters while missing in one. The average surprise was 8.6%.
The Zacks Consensus Estimate for revenues is pegged at $1.17 billion, which indicates a decline of 3.2% from the year-ago quarter’s reported figure. The consensus estimate for adjusted earnings is pinned at $2.82 per share, indicating a 14.3% decline from a year ago.
Let’s see how things have shaped up for Zebra Technologies this earnings season.
Zebra Technologies Corporation Price and EPS Surprise
Zebra Technologies Corporation price-eps-surprise | Zebra Technologies Corporation Quote
Factors to Note
Solid demand for services, software and RFID (radio frequency identification) products, driven by increased parcel tracking in transportation logistics markets and airports, is expected to have driven Enterprise Visibility & Mobility’s second-quarter performance.
However, weak demand for data capture and mobile computing solutions is likely to have offset the gains. The Zacks Consensus Estimate for the Enterprise Visibility & Mobility segment’s revenues is pegged at $786.2 million, which indicates a 4.1% increase from the year-ago reported number.
Also, prolonged weakness in the printing end market is expected to have hurt the Asset Intelligence and Tracking segment’s performance. The Zacks Consensus Estimate for the Asset Intelligence and Tracking segment’s revenues is pegged at $392 million, indicating a 15% decline from the year-ago reported number.
Nevertheless, ZBRA has announced an expanded cost-reduction program as it grapples with a slowdown in end markets and demand softness. The cost-saving actions are likely to have boosted the company’s margins and profitability.
Given the company’s extensive geographic presence, its operations are subject to foreign exchange headwinds. A stronger U.S. dollar is likely to have hurt Zebra Technologies' overseas business.
Earnings Whisper
Our proven model does not conclusively predict an earnings beat for ZBRA this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as elaborated below.
Earnings ESP: Zebra Technologies has an Earnings ESP of 0.00% as both the Zacks Consensus Estimate and the Most Accurate Estimate are pegged at $2.82. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Zacks Rank: Zebra Technologies presently carries a Zacks Rank of 3.
Stocks With the Favorable Combination
Here are three companies, which according to our model, have the right combination of elements to post an earnings beat this season.
Chart Industries, Inc. GTLS has an Earnings ESP of +7.99% and a Zacks Rank of 3, at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company is slated to release second-quarter 2024 results on Aug 2. Chart Industries’ earnings have surpassed the Zacks Consensus Estimate twice in the trailing four quarters and missed the mark twice.
IDEX Corporation IEX has an Earnings ESP of +0.10% and a Zacks Rank of 3, at present. The company is slated to release second-quarter results on Jul 31.
IEX’s earnings have surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 6.3%.
Emerson Electric Co. EMR has an Earnings ESP of +1.12% and a Zacks Rank of 2, at present. The company is scheduled to release second-quarter results on Aug 7.
EMR’s earnings have surpassed the Zacks Consensus Estimate thrice in the preceding four quarters while missing the mark once, the average surprise being 10.7%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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