MSI

Motorola Solutions Inc

TMT


Presented:02/02/2016
Price:$64.32
Cap:$12.95B
Current Price:$473.41
Cap:$78.98B

Presented

Date02/02/2016
Price$64.32
Market Cap$12.95B
Ent Value$15.97B
P/E Ratio26.15x
Book ValueN/A
Div Yield1.94%
Shares O/S201.30M
Ave Daily Vol1,215,844
Short Int2.69%

Current

Price$473.41
Market Cap$78.98B
Motorola Solutions, Inc. provides mission-critical communication infrastructure, devices, software and services. It operates through two segments: Government and Enterprise. The Government segment designs, manufactures, sells, and provides services around voice and data communications systems, security products and applications. It also sells public safety communications systems, commercial two-way radio systems, and software. The Enterprise segment designs, manufactures, sells and provides services around rugged and enterprise-grade mobile computers, including tablets, data capture devices, security products and applications, and wireless local area network and integrated digital enhanced network infrastructure. The company was founded on September 25, 1928 and is headquartered in Schaumburg, IL.

Publicly traded companies mentioned herein: Motorola Solutions Inc (MSI) and Google (GOOGL). 

Highlights

Motorola Solutions was spun out of the old Motorola, which was split into two separate businesses. The company’s handsets business was ultimately acquired by Google (GOOGL), with MSI continuing to operate Motorola’s legacy two-way radios/ other public safety equipment that transmit over the company’s iDEN network. That technology is in the process of being slowly phased out, with revenues down over the past couple of years. Notwithstanding, the stock has gone from around $20 to as high as $70 over the past five years largely on the back of cost cuts. The presenter is short shares, believing that the company is currently operating at peak margins, leverage and multiple.

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Idea Discussion

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