A passenger scans QR code to learn about the operation of electric bus in Buenos Aires, Argentina, May 7, 2025. (Photo by Martin Zabala/Xinhua via Getty Images)
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Zebra Technologies (ZBRA) has found itself back on investors’ radar after a sharp post-earnings pullback brought the stock to a key technical support zone. Despite beating expectations and raising guidance, shares have slid nearly 30% this year as the market questions the pace of recovery across its core automation and enterprise mobility segments. Yet, technically, this is familiar territory for Zebra — and historically, levels like these have marked turning points for the stock.
The stock should be on your radar. Here’s why – it is presently trading within the support range ($260.59 – $288.03), levels from which it has previously enjoyed significant upward movement. Over the past 10 years, Zebra Technologies stock received buying interest at this level on 6 occasions and subsequently achieved an average peak return of 31.2%.
But is the price movement alone sufficient? It certainly helps if the fundamentals are sound. For ZBRA, check out Buy or Sell ZBRA Stock to evaluate how persuasive this buying opportunity could be.
The critical issue isn’t just the direction of ZBRA stock, but how your portfolio is configured. Discover how Trefis High Quality Portfolio and Empirical Asset Management can assist you.
Here are some quick data points for Zebra Technologies that may assist in your decision-making:
- Revenue Growth: 12.9% LTM and -2.4% average over the last 3 years.
- Cash Generation: Nearly 15.1% free cash flow margin and 15.3% operating margin LTM.
- Recent Revenue Shocks: The lowest annual revenue growth in the past 3 years for ZBRA was -20.8%.
- Valuation: ZBRA stock has a PE multiple of 27.2
- Opportunity vs S&P: In comparison to the S&P, you receive a higher valuation, greater LTM revenue growth, and lower margins
For quick background, Zebra Technologies supplies enterprise asset intelligence solutions, including printers for labels and cards, as well as maintenance, support, repair, and professional services in asset tracking and enterprise mobility.
ZBRA Financial Metrics
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What Is Stock-Specific Risk If The Market Declines?
Zebra Technologies is not immune to severe downturns. It declined approximately 51% during the Dot-Com crash and experienced a 61% drop during the Global Financial Crisis. The 2018 correction caused a reduction of nearly 29%, while the Covid-related drop resulted in a loss of about 38%. The most significant impact was experienced during the recent inflation crisis, where it plummeted 68%. Strong fundamentals are important, but when markets turn adverse, even robust stocks like Zebra can suffer significant drops.
However, the risk isn’t confined to significant market downturns. Stocks tend to decline even in favorable market conditions – consider scenarios such as earnings reports, business updates, or changes in outlook. Check ZBRA Dip Buyer Analyses to explore how the stock has rebounded from significant drops in the past.
The Trefis High Quality (HQ) Portfolio, consisting of 30 stocks, has a history of consistently outperforming its benchmark which includes the S&P 500, S&P mid-cap, and Russell 2000 indices. What accounts for this? Collectively, HQ Portfolio stocks have provided better returns with reduced risk compared to the benchmark index; they tend to be less volatile, as shown in HQ Portfolio performance metrics.
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