Overview
- The company, which reported results Tuesday, posted $1.50 billion in revenue and adjusted EPS of $4.75, topping forecasts.
- Zebra now targets 10%–14% sales growth for 2026 and about $18.50 in adjusted EPS at the midpoint, with Q2 sales seen up 14%–17% and EPS of $4.20–$4.50.
- Shares jumped roughly mid-teens to high-teens after the beat and raise, as investors also noted $300 million in Q1 buybacks and $500 million year to date.
- Executives warned that pricey, scarce memory components could cut next-quarter gross margin by about two points, and said they are shifting suppliers and using price to blunt the hit.
- Management cited demand for warehouse and retail automation, including on-device “Physical AI” tools and gains from the Elo Touch deal, and projected at least $900 million in 2026 free cash flow.