Key Takeaways GFF is weighed down by CPP softness, weak demand and tariff impacts, hurting quarterly revenues.Higher SG&A costs and restructuring charges are pressuring margins heading into fiscal 2026.GFF's $1.40B long-term debt and limited cash heighten financial strain amid FX headwinds.Griffon Corporation (GFF) failed to impress investors with its recent operational performance due to weakness in the Consumer and Professional Products (CPP) segment, increased selling, general and administrative expenses ...

Core Insights - Zebra Technologies Corporation (ZBRA) has underperformed in operational performance, leading to a Zacks Rank of 5 (Strong Sell) with a stock loss of 3.2% over the past year, consistent with industry trends [1] Rising Costs - ZBRA experienced an 8.3% year-over-year increase in the cost of sales in Q1 2025, primarily due to high raw material costs [4] - Selling and marketing expenses also rose by 8.8% year-over-year, indicating escalating operational costs that may negatively impact profitability in the future [4] High Debt Level - The company's long-term debt has grown at a CAGR of 18.9% over the past five years, reaching $2.10 billion by the end of Q1 2025, a slight increase from $2.09 billion at the end of 2024 [5] - Interest expenses surged by 35.3% year-over-year in Q1, totaling $23 million, raising concerns about the sustainability of its financial structure [5][8] - ZBRA completed a $500 million senior notes offering with a fixed interest rate of 6.5%, which, while aimed at reducing term loan obligations, will add to the existing debt burden [6] Forex Woes - The company operates in multiple regions, exposing it to geopolitical risks, including conflicts in Russia & Ukraine and tensions in U.S.-China relations, which could adversely affect business operations [7] - A stronger U.S. dollar poses additional challenges, potentially impacting ZBRA's performance in overseas markets [7][8]