Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades. For MSI, shares are up 0.09% over the past ...

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying stocks that can fulfill their growth potential is challenging due to associated risks and volatility [1] Group 1: Company Overview - Motorola is currently recommended as a growth stock due to its favorable Growth Score and top Zacks Rank [2] - The company has a historical EPS growth rate of 10.9%, with projected EPS growth of 9.4% this year, surpassing the industry average of 5.9% [4] Group 2: Financial Metrics - Motorola's year-over-year cash flow growth stands at 7.8%, significantly higher than the industry average of -1.1% [5] - The company's annualized cash flow growth rate over the past 3-5 years is 7.9%, compared to the industry average of 7.8% [6] Group 3: Earnings Estimates - The current-year earnings estimates for Motorola have increased by 2.9% over the past month, indicating a positive trend in earnings estimate revisions [8] - A strong correlation exists between trends in earnings estimate revisions and near-term stock price movements, supporting the stock's potential for outperformance [7] Group 4: Investment Positioning - Motorola has achieved a Growth Score of A and holds a Zacks Rank 2 due to positive earnings estimate revisions, positioning it well for growth investors [9][10]

For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both. Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor. Zacks Premium also includes the Zacks Style Scores. What are the Zacks Style Scores? The Zacks Styl ...

Company Overview - Motorola Solutions, Inc. is a leading communications equipment manufacturer based in Chicago, IL, with strong market positions in bar code scanning, wireless infrastructure gear, and government communications [12] - The company was formed following the split-off from its parent company Motorola, Inc. on January 4, 2011, and provides services and solutions primarily to government segments and public safety programs, as well as large enterprises and wireless infrastructure service providers [12] Investment Insights - Motorola Solutions has a Zacks Rank of 3 (Hold) and a VGM Score of B, indicating a solid position in the market [13] - The company has a Momentum Style Score of B, with shares increasing by 4.9% over the past four weeks, suggesting positive momentum [13] - For fiscal 2024, eight analysts have revised their earnings estimates upwards in the last 60 days, with the Zacks Consensus Estimate increasing by $0.32 to $13.04 per share [13] - Motorola Solutions boasts an average earnings surprise of 7.5%, indicating a history of exceeding earnings expectations [13] - With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, Motorola Solutions is recommended for investors' consideration [14]

The Zacks Wireless Equipment industry is likely to be deterred by large-scale investments for seamless 5G evolution, margin erosion due to escalated price wars, higher customer inventory levels and inflated raw material costs in a challenging macroeconomic environment, prolonged geopolitical conflicts and uncertain business conditions. However, fast-track 5G deployment, transition to cloud and fiber network infrastructure upgrades should help the industry in the long run. Despite short-term headwinds, Qualc ...

BOISE, Idaho, May 21, 2024 (GLOBE NEWSWIRE) -- Micron Technology, Inc. (Nasdaq: MU), one of the world's largest semiconductor companies and the only U.S.-based manufacturer of memory, today announced a strategic expansion in workforce development initiatives to diversify the semiconductor workforce and build a robust talent pipeline through education and career reentry initiatives. Micron is partnering with GlobalFoundries, the U.S. National Science Foundation (NSF) and additional leaders in industry, gover ...

Motorola Solutions, Inc. (MSI) recently showcased a wide array of groundbreaking solutions at Critical Communications World (CCW) 2024. The latest innovations are engineered to address the requirement of robust communications and security needs for public safety agencies and enterprises. Motorola unveiled the DIMETRA™ Connect solution and MXP660 TETRA radio at CCW. Frontline responders often have to work in challenging locations where efficient collaboration becomes a critical aspect. Emergency situations i ...

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores provide a unique rating system for stocks based on value, growth, and momentum, aiding investors in selecting securities with high potential for market outperformance [2][3] Zacks Style Scores Overview - Stocks are rated from A to F based on their value, growth, and momentum characteristics, with A being the highest score indicating better chances of outperforming the market [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Value Score - The Value Style Score focuses on identifying undervalued stocks by analyzing financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - The Growth Style Score emphasizes a company's financial health and future growth potential, considering projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Style Score is designed for traders who capitalize on price trends, utilizing factors like recent price changes and earnings estimate revisions [5] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator for investors who prefer a multifaceted approach to stock selection [6] Zacks Rank and Style Scores Interaction - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8] Stock to Watch: Motorola Solutions, Inc. (MSI) - Motorola Solutions, Inc. is a leading communications equipment manufacturer with strong market positions in various sectors, including government communications and wireless infrastructure [11] - MSI holds a 3 (Hold) rating on the Zacks Rank and has a VGM Score of B, indicating potential for growth [12] - The company is forecasted to achieve a year-over-year earnings growth of 9% for the current fiscal year, with upward revisions in earnings estimates from analysts [12][13]

Financial Data and Key Metrics - Revenue growth of 10% in Q1 2024, with earnings per share (EPS) growth of 27% and operating margins expanded by 220 basis points [9] - Record Q1 operating cash flow of $382 million, up $390 million year-over-year [9][18] - GAAP operating earnings were $519 million (21.7% of sales), up from 18.4% in the year-ago quarter, while non-GAAP operating earnings were $638 million (26.7% of sales), up 20% year-over-year [13] - GAAP EPS was a loss of $0.23 due to a $585 million charge related to the settlement of Silver Lake convertible notes, while non-GAAP EPS was $2.81, up 27% from $2.22 last year [15][17] - Ending backlog reached a record $14.4 billion, up $331 million year-over-year, driven by strong demand for multiyear Software and Services contracts [24] Business Segment Performance - Products and SI segment revenue grew 14% year-over-year, with operating margins increasing by 590 basis points, driven by strong demand for LMR products like APX NEXT and refreshed PCR portfolio [10][20] - Software and Services revenue grew 4%, but excluding the U.K. Home Office impact, revenue increased double-digits, driven by strong demand for LMR services and software applications in video security and command center [10][22] - Notable wins in Q1 include a $22 million P25 device order, a $16 million LMR order, and a $13 million mobile video order for North Carolina State Highway Patrol [21] Regional Performance - North America Q1 revenue was $1.7 billion, up 13%, driven by strong double-digit growth in both segments [16] - International Q1 revenue was $696 million, up 3%, with growth in video and LMR offset by lower U.K. Home Office revenues due to the Airwave charge control and exit from the ESN contract [16] - Excluding the U.K. Home Office impact, international revenue increased double-digits year-over-year in both segments [16] Company Strategy and Industry Competition - The company raised its full-year revenue and EPS guidance, expecting revenue growth of approximately 7% and non-GAAP EPS between $12.98 and $13.08 [28][29] - Investments in LMR product portfolio are driving revenue growth and margin expansion, with recurring revenues increasing due to strong demand for services [36] - The company is seeing accelerated adoption of cloud offerings, including Rave and Command Center, and is well-positioned for organic and inorganic growth [37] Management Commentary on Operating Environment and Future Outlook - Management highlighted the strong start to the year, with robust demand across all technologies and regions, leading to increased guidance for the full year [9][11] - The company expects Q2 sales to grow between 7% and 8%, with non-GAAP EPS between $2.97 and $3.02 [28] - Management remains optimistic about the durability and criticality of mission-critical LMR technology, particularly with the extension of the Airwave contract in the U.K. [57] Other Important Information - The company settled $1.59 billion of Silver Lake convertible notes in cash, eliminating potential dilution and reflecting a favorable negotiated settlement price [15] - S&P and Fitch upgraded the company's credit ratings to BBB, and the company issued $1.3 billion of debt to extend its average debt maturity to over eight years [31][32] - The company acquired Silent Sentinel, a provider of specialized long-range cameras, for $37 million net of cash [19] Q&A Session Summary Question: Video Growth and Cloud Adoption - Video growth was strong in Q1, with cloud adoption estimated to create a $40 million headwind for the full year [43][44] - Software within video is growing faster than the product side, driven by analytics, VMS, and cloud subscriptions [46] Question: LMR Growth Cycle - LMR growth is driven by strong demand for feature-rich devices like APX NEXT, with the company still in the middle of the device refresh cycle [48][50] - Applications like SmartConnect and Smart Programming are driving adoption, with customers embracing blended fleets of APX Original and APX NEXT devices [51][53] Question: Airwave Contract and CMA Situation - The U.K. Home Office extended the Airwave contract through 2029, with the company recording backlog at worst-case charge control rates while contesting the CMA decision [57][58] - No evidence of other managed services customers attempting to reprice contracts globally [60] Question: Ukraine Impact and Command Center Growth - The company maintains a $100 million headwind from reduced business in Ukraine, with no change to the full-year outlook despite the recent aid package [62][63] - Command center growth is expected to be 10% for the full year, with strong adoption of cloud-connected products [64][66] Question: Margin Expansion and Backlog Trends - Q1 margins benefited from lower supply chain costs and customer adoption of feature-rich products, with more margin improvement expected throughout the year [70][71] - Excluding the U.K. Home Office impact, total backlog is up over $500 million, with Software and Services backlog up over $600 million [80] Question: Future Margin Drivers - Future margin expansion will be driven by volume mix, surgical price increases, and disciplined OpEx management, with potential contributions from AI and operational efficiencies [72][77]

```markdown [First-Quarter 2024 Financial Results](index=1&type=section&id=First-Quarter%202024%20Financial%20Results) [Key Financial Highlights](index=1&type=section&id=Key%20Financial%20Highlights) Motorola Solutions reported record Q1 revenue of **$2.4 billion** and non-GAAP EPS of **$2.81**, leading to raised full-year guidance Q1 2024 Key Financial Results (in millions, except EPS) | Metric | Q1 2024 | Q1 2023 | % Change | | :--- | :--- | :--- | :--- | | **Sales** | $2,389 | $2,171 | 10% | | **GAAP Operating Earnings** | $519 | $399 | 30% | | **GAAP EPS** | ($0.23) | $1.61 | (114)% | | **Non-GAAP Operating Earnings** | $638 | $532 | 20% | | **Non-GAAP EPS** | $2.81 | $2.22 | 27% | - The GAAP EPS of **($0.23)** includes a significant non-operating loss of **($3.42)** per share due to the settlement accounting for the Silver Lake convertible debt[2](index=2&type=chunk) - The company achieved record Q1 operating cash flow of **$382 million**, a substantial increase from a usage of **$8 million** in the prior year, and ended the quarter with a record backlog of **$14.4 billion**[2](index=2&type=chunk)[4](index=4&type=chunk) - Strategic activities in the quarter included credit rating upgrades to BBB by S&P and Fitch, the issuance of **$1.3 billion** in long-term debt, the cash settlement of the Silver Lake convertible debt, and the acquisition of Silent Sentinel, a provider of long-range cameras[2](index=2&type=chunk)[4](index=4&type=chunk) [Segment Performance](index=1&type=section&id=Segment%20Performance) Products and Systems Integration sales grew **14%**, Software and Services **4%** (**12%** adjusted), with varied segment operating margins Q1 2024 Segment Sales and Non-GAAP Operating Earnings (in millions) | Segment | Q1 2024 Sales | YoY Change | Q1 2024 Non-GAAP OE | YoY Change | Q1 2024 Non-GAAP OE Margin | | :--- | :--- | :--- | :--- | :--- | :--- | | Products and Systems Integration | $1,490 | 14% | $370 | 50% | 24.8% | | Software and Services | $899 | 4% | $268 | (6)% | 29.8% | - Products and Systems Integration growth was driven by land mobile radio (LMR) communications and video security and access control (Video)[4](index=4&type=chunk) - Software and Services growth was driven by Video and Command Center solutions, but was partially offset by lower revenue from the U.K. Home Office due to the Airwave price control (the "Charge Control") and the exit from the Emergency Services Network (ESN) contract[4](index=4&type=chunk) [Other Selected Financial Results](index=2&type=section&id=Other%20Selected%20Financial%20Results) Non-GAAP operating margin improved to **26.7%**, operating cash flow reached **$382 million**, and total backlog hit **$14.4 billion** - Non-GAAP operating margin increased by **220 basis points** to **26.7%**, driven by higher sales, favorable mix, and improved operating leverage, which was partially offset by the U.K. Airwave Charge Control[4](index=4&type=chunk) - Operating cash flow was **$382 million**, compared to a usage of **$8 million** in Q1 2023 Free cash flow was **$336 million**, compared to a usage of **$62 million** in the prior-year quarter[4](index=4&type=chunk) - During the quarter, the company paid **$163 million** in dividends, repurchased **$39 million** of stock, and settled the Silver Lake convertible debt for **$1.59 billion** in cash[4](index=4&type=chunk) - Total ending backlog reached a record **$14.4 billion**, up **2%** YoY Software and Services backlog grew **$404 million** (**4%**), while Products and Systems Integration backlog declined **$74 million** (**2%**), primarily due to unfavorable foreign exchange rates[4](index=4&type=chunk) [Business Outlook](index=3&type=section&id=Business%20Outlook) [Q2 2024 and Full-Year 2024 Guidance](index=3&type=section&id=Q2%202024%20and%20Full-Year%202024%20Guidance) Motorola Solutions raised full-year 2024 guidance to **7%** revenue growth and **$12.98**-**$13.08** non-GAAP EPS, with Q2 outlook provided Q2 2024 Guidance | Metric | Guidance | | :--- | :--- | | Revenue Growth (YoY) | 7% to 8% | | Non-GAAP EPS | $2.97 to $3.02 | Updated Full-Year 2024 Guidance | Metric | New Guidance | Prior Guidance | | :--- | :--- | :--- | | Revenue Growth (YoY) | Approx. 7% | Approx. 6% | | Non-GAAP EPS | $12.98 to $13.08 | $12.62 to $12.72 | [Business & Operational Updates](index=3&type=section&id=Business%20%26%20Operational%20Updates) [Notable Wins](index=3&type=section&id=Notable%20Wins) The company secured significant LMR, Command Center, and P25 device orders across U.S. and international markets - **Software and Services Wins:** - **$25M** LMR services order for Douglas County, Colorado - **$25M** LMR services order for U.K. Department of Health - **$18M** Command Center order for San Francisco - **$14M** LMR services order for Lithuania - **$11M** LMR services order for São Paulo State Police, Brazil[8](index=8&type=chunk) - **Products and Systems Integration Wins:** - **$22M** P25 device order for large U.S. customer - **$16M** LMR order for an international customer - **$13M** LMR order for State of Tennessee - **$13M** mobile video order for North Carolina State Highway Patrol[8](index=8&type=chunk) [U.K. Home Office Update](index=3&type=section&id=U.K.%20Home%20Office%20Update) U.K. Home Office extended Airwave contract to 2029, adding **$748 million** to backlog, amidst ongoing CMA price control appeals - The CMA imposed a price control (the "Charge Control") on the Airwave network The company's appeal was dismissed by the Competition Appeal Tribunal (CAT), and it has now applied to the U.K. Court of Appeal to hear the case[8](index=8&type=chunk) - On March 13, 2024, the U.K. Home Office issued a Deferred National Shutdown Notice, extending the Airwave service from Dec 31, 2026, to Dec 31, 2029, at the reduced Charge Control rates[9](index=9&type=chunk) - As a result of the contract extension, the company recorded an additional **$748 million** in backlog in Q1 2024 The company has filed proceedings in the U.K. High Court to challenge the extension notice[10](index=10&type=chunk) [Legal Proceedings](index=5&type=section&id=Legal%20Proceedings) [Hytera Litigation Update](index=5&type=section&id=Hytera%20Litigation%20Update) Motorola Solutions continues Hytera litigation, securing a **$56 million** escrow payment and a worldwide sales injunction under appeal - The company was previously awarded a judgment against Hytera, which was later reduced to **$543.7 million** plus interest, costs, and fees The company is pursuing collection through the legal process[18](index=18&type=chunk) - After Hytera failed to make a court-ordered royalty payment, the court found Hytera in contempt, leading to a **$56 million** payment into a third-party escrow in September 2023 The funds will not be recognized until all contingencies are resolved[20](index=20&type=chunk) - In Q1 2024, a U.S. court found Hytera in contempt for not withdrawing competing litigation in China and issued a worldwide sales injunction on all Hytera radio products This injunction has been temporarily stayed pending an appeal by Hytera[22](index=22&type=chunk) [Financial Statements & Reconciliations](index=4&type=section&id=Financial%20Statements%20%26%20Reconciliations) [Use of Non-GAAP Financial Information](index=4&type=section&id=Use%20of%20Non-GAAP%20Financial%20Information) The company uses non-GAAP measures to present core operating performance, excluding non-recurring or non-operational items - Management uses non-GAAP measures to evaluate business performance and for incentive compensation targets, believing they enable better evaluation of the core business by excluding certain items[12](index=12&type=chunk) - Key exclusions from non-GAAP metrics include share-based compensation, intangible assets amortization expense, and various highlighted items like reorganization charges, legal settlements, and gains/losses on debt extinguishment[17](index=17&type=chunk)[24](index=24&type=chunk)[25](index=25&type=chunk) - Hytera-related legal expenses are excluded from non-GAAP results as of 2020 because management believes they are no longer part of "normal and recurring" legal expenses after the initial jury award[23](index=23&type=chunk) [Consolidated GAAP Financial Statements](index=9&type=section&id=Consolidated%20GAAP%20Financial%20Statements) GAAP statements show a **$39 million** net loss from debt extinguishment, **$13.3 billion** total assets, and **$382 million** operating cash flow [Condensed Consolidated Statements of Operations](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q1 2024 net sales were **$2.39 billion** with **49.9%** gross margin, but a **$609 million** expense led to a **$39 million** net loss Q1 2024 vs Q1 2023 Statement of Operations (in millions) | Metric | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net sales | $2,389 | $2,171 | | Gross margin | $1,192 | $1,046 | | Operating earnings | $519 | $399 | | Total other expense | ($609) | ($41) | | Net earnings (loss) attributable to MSI | ($39) | $278 | [Condensed Consolidated Balance Sheets](index=10&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets were **$13.3 billion**, cash **$1.5 billion**, with debt shifting from current to long-term due to financing Balance Sheet Highlights (in millions) | Account | March 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | Total current assets | $5,521 | $5,725 | | Total assets | $13,326 | $13,336 | | Current portion of long-term debt | $313 | $1,313 | | Long-term debt | $5,994 | $4,705 | | Total Motorola Solutions, Inc. stockholders' equity | $521 | $724 | [Condensed Consolidated Statements of Cash Flows](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations was **$382 million**, a strong recovery driven by debt extinguishment and working capital improvements Cash Flow Summary (in millions) | Activity | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net cash provided by (used for) operating activities | $382 | ($8) | | Net cash used for investing activities | ($47) | ($53) | | Net cash used for financing activities | ($512) | ($263) | | Net decrease in total cash and cash equivalents | ($193) | ($303) | [GAAP to Non-GAAP Reconciliations](index=12&type=section&id=GAAP%20to%20Non-GAAP%20Reconciliations) This section details GAAP to non-GAAP reconciliations, quantifying adjustments for debt extinguishment and share-based compensation [Free Cash Flow Reconciliation](index=12&type=section&id=Free%20Cash%20Flow%20Reconciliation) Q1 2024 free cash flow was **$336 million**, from **$382 million** operating cash flow less **$46 million** capital expenditures Q1 2024 Free Cash Flow (in millions) | Metric | Amount | | :--- | :--- | | Net cash provided by operating activities | $382 | | Capital expenditures | ($46) | | **Free cash flow** | **$336** | [Net Earnings and EPS Reconciliation](index=13&type=section&id=Net%20Earnings%20and%20EPS%20Reconciliation) GAAP to non-GAAP EPS reconciliation adjusts **($0.23)** GAAP loss to **$2.81** non-GAAP EPS, mainly from **$3.42** debt extinguishment add-back Q1 2024 EPS Reconciliation (GAAP to Non-GAAP) | Description | Per Share Amount | | :--- | :--- | | **GAAP Diluted EPS** | **($0.23)** | | Loss from extinguishment of Silver Lake Debt | $3.42 | | Share-based compensation expenses | $0.32 | | Intangible assets amortization expense | $0.23 | | Other adjustments (net) | $0.17 | | Income tax expense on adjustments | ($1.10) | | **Non-GAAP Diluted EPS** | **$2.81** | [Operating Earnings by Segment Reconciliation](index=15&type=section&id=Operating%20Earnings%20by%20Segment%20Reconciliation) Total GAAP operating earnings of **$519 million** adjusted to **$638 million** non-GAAP, with segment-specific adjustments Q1 2024 Operating Earnings Reconciliation (in millions) | Segment | GAAP OE | Total Adjustments | Non-GAAP OE | | :--- | :--- | :--- | :--- | | Products and Systems Integration | $310 | $60 | $370 | | Software and Services | $209 | $59 | $268 | | **Total** | **$519** | **$119** | **$638** | [Organic Revenue Reconciliation](index=16&type=section&id=Organic%20Revenue%20Reconciliation) Q1 2024 organic revenue was **$2.379 billion**, a **10%** YoY growth, after adjusting for **$10 million** in acquisitions Q1 2024 Organic Revenue (in millions) | Metric | Amount | | :--- | :--- | | Net sales | $2,389 | | Sales from acquisitions | ($10) | | **Organic revenue** | **$2,379** | [Net Sales Adjusted for U.K. Home Office Reconciliation](index=17&type=section&id=Net%20Sales%20Adjusted%20for%20U.K.%20Home%20Office%20Reconciliation) Software and Services net sales grew **12%** excluding U.K. Home Office, with total company net sales up **14%** adjusted Q1 2024 Net Sales Adjusted for U.K. Home Office (in millions) | Metric | Amount | YoY Change | | :--- | :--- | :--- | | Software and Services net sales | $899 | 4% | | Less: U.K. Home Office net sales | ($101) | N/A | | **S&S net sales adjusted for U.K. Home Office** | **$798** | **12%** | ```