Zebra: Positive Innovation Day Aligns With Our Moat Thesis

We maintain our $320 fair value estimate for Zebra Technologies after its 2024 Innovation Day showcase aligned with our positive view of the company and our long-term thesis. Zebra highlighted its product portfolio, customer relationships, and strategy for digital transformation, all of which we liked but weren’t new. We appreciate Zebra’s sticky ecosystem of solutions, comprising integrated hardware, software, and services. We believe these embed deeply in customers and contribute to the firm’s economic moat. Management also reiterated its existing financial targets, which align with our model. We see shares as fairly valued today.