Is the business good?
How good a business is ZBRA?
Zebra Technologies earns 9.5% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
9.5%
Return on invested capital · cost of capital 9.0% · 0.47 points above what the capital costs: growth creates value
- Operating margin
- 13%
Operating margin · Communication Equipment median 4.4% · 12 months to Q1 2026
- Cash conversion
- 2.00×
Cash conversion · 1.82× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −4.6%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 15% |
| FY2021 | 17% |
| FY2022 | 9.2% |
| FY2023 | 10% |
| FY2024 | 15% |
| FY2025 | 13% |
Details›
- Gross margin12 months to Q1 2026
- 48%
- Operating margin12 months to Q1 2026
- 13%
- Net margin12 months to Q1 2026
- 7.5%
- Free cash flow margin
- 15%
- R&D as % of revenue
- 11%
- Revenue, trailing twelve months
- $5.58B
- Free cash flow, trailing twelve months
- $836M
- Net income, trailing twelve months
- $418M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 9.5%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Communication Equipment
Ranks #13 of 21 by Smart Score