Zebra Technologies a 'buy' for your portfolio?

FBN's Charles Payne, A&G Capital CIO Hilary Kramer, NewOak Capital President James Frischling, retail analyst Hitha Herzog and Penn Financial Group founder Matt McCall on the outlook for Zebra Technologies.

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Good Time to Buy Zebra Technologies?

By Payne's Picks FOXBusiness

Let’s talk about Zebra Technologies (ZBRA).

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We've been a fan of Zebra Technologies for a long time: featured it in the spring, and we actually took profits, and then that dip I think created an amazing chance to get back into the stock.

Its equipment is used by more than 90% of Fortune 500 companies, and in the digital age, it is finding new ways to monetize growth. E-commerce, mobile point-of-sale and software ecosystems -- all of this stuff is going to be huge for them.

And 75% of the company's revenue comes from printers, which can print out labels for tracking, as well as for receipts. And the rest of its sales come from supplies and software services, which is going to have some good margins for them.

The company's core business sees 11 million printers in over 100 countries, and its business segments cover barcodes, location and sensing, mobile computing, RFIDs and cloud-device management. All of that stuff bodes so well.

In its most recent quarter, the company saw record revenues and earnings. And while the Middle East and Africa has been a sore spot for everyone, they were up 19% there. North America up almost 16%, Asia Pacific was up 9%, and Latin America -- a bad spot for most businesses -- was up 11%.

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The company has zero debt and strong cash flow, and pretty good margins. I’d like to see them improve. The stock is climbing off of a double bottom. This week it broke a key resistance of $75. I think you hit trading points $80-$85, but I think this will be a $90 stock.
 

DISCLOSURES

Zebra Technologies (ZBRA)

Owns

Family Owns

Firm Owns

Investment
Banking

CHARLES N N Y N
MATT N N N N
HITHA N N N N
SCOTTIE N N N N
JAMES N N N N
HILARY N N N N

 

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