Zebra Technologies Gears Up to Post Q4 Earnings: What to Expect

Core Viewpoint - Zebra Technologies Corporation (ZBRA) is expected to report its fourth-quarter 2024 results on February 13, with significant anticipated growth in both revenue and earnings per share compared to the previous year [1][2]. Revenue Estimates - The Zacks Consensus Estimate for ZBRA's revenues is $1.31 billion, reflecting a growth of 29.9% from the same quarter last year [2]. - The Enterprise Visibility & Mobility segment is projected to generate revenues of $871 million, indicating a 34.4% increase year-over-year [4]. - The Asset Intelligence and Tracking segment is expected to report revenues of $441 million, which represents a 27.5% growth from the previous year [5]. Earnings Estimates - The consensus estimate for adjusted earnings is $3.95 per share, which shows an increase of 131% from the prior year [2]. - The earnings estimate has remained stable over the past 60 days, and the company has a strong history of earnings surprises, outperforming estimates in the last four quarters with an average surprise of 10.2% [3]. Performance Influencers - Strong demand for mobile computing products and data capture solutions is anticipated to positively impact the fourth-quarter performance [4]. - An increase in sales of services and software, particularly from retail software wins, is expected to contribute to revenue growth [4]. - The company's focus on enhancing digital capabilities, optimizing the supply chain, and expanding data analytics is likely to have improved performance [6]. Challenges - The company faces foreign exchange headwinds due to its extensive geographic presence, with a stronger U.S. dollar potentially impacting overseas business negatively [7]. - Weakness in the printing solution market may offset some gains in the Asset Intelligence and Tracking segment [5]. Earnings Prediction Model - The current Earnings ESP for ZBRA is 0.00%, indicating no predictive advantage for an earnings beat this time [9]. - The company holds a Zacks Rank of 4 (Sell), which suggests a less favorable outlook compared to other stocks [9].