Why Zebra Technologies Stock Fell 9.8% Today
Shares of Zebra Technologies (NASDAQ: ZBRA) closed Tuesday's trading 9.8% lower, falling back after showing pre-market gains of as much as 9.6%. The maker of barcode scanning tools and other information management systems posted strong second-quarter results before the market opened Tuesday. However, its early surge evaporated as analysts and investors decided that management's guidance targets for Q3 weren't up to par.
Zebra's sales rose 6.6% year over year in the second quarter, landing at $1.47 billion. Adjusted earnings per diluted share rose from $4.57 to $4.61. The average Wall Street analyst had been looking for earnings near $4.21 per share and revenues in the neighborhood of $1.44 billion.
Looking ahead to the third quarter, Zebra's management set its sights on year-over-year sales growth of approximately 3% with an adjusted earnings target range centered around $4.50 per share. For the period, analysts' current consensus estimates point to earnings of roughly $5.08 per share.
Source Fool.com
