ZBRA

Zebra Technologies Corporation

TMT


Presented:05/15/2014
Price:$72.36
Cap:$3.65B
Current Price:$375.30
Cap:$19.36B

Presented

Date05/15/2014
Price$72.36
Market Cap$3.65B
Ent Value$3.19B
P/E Ratio37.03x
Book Value$21.15
Div YieldN/A
Shares O/S50.49M
Ave Daily Vol600,000
Short Int1.70%

Current

Price$375.30
Market Cap$19.36B
Zebra Technologies Corporation manufactures and sells printers and related products worldwide. Its products include direct thermal and thermal transfer label printers, radio frequency identification (RFID) printer/encoders, dye sublimation card printers, real-time location solutions, and related accessories and support software. The company offers its printers to print barcode labels, receipts, plastic identification cards, wristbands, and tags, as well as to encode passive RFID smart labels and cards. Its printing solution applications comprise inventory control, small package delivery, baggage handling, automated warehousing, just-in-time manufacturing, employee time and attendance records, file management systems, patient barcode wrist banding, medical specimen labeling, shop floor control, in-store product labeling, employee ID cards, driver’s licenses, and access control systems. The company also provides specialty printing devices that print variable information on demand at the point of issuance; and sells specialty labeling materials, thermal ink ribbons, and barcode label design and network management software, which are primarily used in the manufacturing supply chain, retail, health care, and government sectors. In addition, it offers solutions that enable businesses locate and track assets and people in real time; consulting services; maintenance contracts; and software licenses related to these solutions, as well as integrated mobile point-of-sale products and inventory management services to retail customers. Further, the company provides printer supplies that consist of stock and customized thermal labels, wristbands, plastic cards, card laminates, and thermal transfer ribbons. The company sells its products through resellers, distributors, and end users representing industrial, service, and government organizations. It has strategic partnership with Kit Check. The company was founded in 1969 and is headquartered in Lincolnshire, Illinois.

Public companies mentioned herein: Zebra Technologies (ZBRA), Motorola Solutions (MSI)

Highlights

Motorola Solutions (MSI) sold its enterprise business to Zebra a couple of weeks ago for $3.5 billion, doubling the enterprise value of the company and more than doubling sales and EBIT. The market seems to think that the MSI business - which largely consists of ruggedized devices used in warehouse management - is a dog, but the presenter’s diligence suggests that it is at a cyclical trough as opposed to being at risk of true structural decline. 

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