A Glimpse of Motorola Solns's Earnings Potential

Motorola Solns MSI is preparing to release its quarterly earnings on Thursday, 2025-05-01. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Motorola Solns to report an earnings per share (EPS) of $3.01.

Anticipation surrounds Motorola Solns's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Historical Earnings Performance

Last quarter the company beat EPS by $0.15, which was followed by a 5.99% drop in the share price the next day.

Here's a look at Motorola Solns's past performance and the resulting price change:

Quarter Q4 2024 Q3 2024 Q2 2024 Q1 2024
EPS Estimate 3.89 3.36 3 2.53
EPS Actual 4.04 3.74 3.24 2.81
Price Change % -6.0% 7.000000000000001% 3.0% 5.0%

Tracking Motorola Solns's Stock Performance

Shares of Motorola Solns were trading at $435.76 as of April 29. Over the last 52-week period, shares are up 29.25%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Opinions on Motorola Solns

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Motorola Solns.

With 3 analyst ratings, Motorola Solns has a consensus rating of Outperform. The average one-year price target is $515.67, indicating a potential 18.34% upside.

Peer Ratings Overview

In this analysis, we delve into the analyst ratings and average 1-year price targets of Arista Networks, Ubiquiti and F5, three key industry players, offering insights into their relative performance expectations and market positioning.

  • Analysts currently favor an Buy trajectory for Arista Networks, with an average 1-year price target of $103.12, suggesting a potential 76.34% downside.
  • Analysts currently favor an Buy trajectory for Ubiquiti, with an average 1-year price target of $367.33, suggesting a potential 15.7% downside.
  • Analysts currently favor an Neutral trajectory for F5, with an average 1-year price target of $278.78, suggesting a potential 36.02% downside.

Comprehensive Peer Analysis Summary

In the peer analysis summary, key metrics for Arista Networks, Ubiquiti and F5 are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Company Consensus Revenue Growth Gross Profit Return on Equity
Motorola Solutions Outperform 5.69% $1.55B 40.34%
Arista Networks Buy 25.32% $1.23B 8.33%
Ubiquiti Buy 29.02% $247.23M 57.17%
F5 Neutral 10.67% $625.98M 5.23%

Key Takeaway:

Motorola Solutions ranks at the top for Gross Profit and Return on Equity among its peers. It is in the middle for Revenue Growth.

Delving into Motorola Solns's Background

Motorola Solutions is a leading provider of communications and analytics, primarily serving public safety departments as well as schools, hospitals, and businesses. The bulk of the firm's revenue comes from sales of land mobile radios and radio network infrastructure, but the firm also sells surveillance equipment and dispatch software. Most of Motorola's revenue comes from government agencies, while roughly 25% comes from schools and private businesses. Motorola has customers in over 100 countries and in every state in the United States.

Motorola Solns: Financial Performance Dissected

Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.

Revenue Growth: Motorola Solns displayed positive results in 3 months. As of 31 December, 2024, the company achieved a solid revenue growth rate of approximately 5.69%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Information Technology sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 20.29%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Motorola Solns's ROE excels beyond industry benchmarks, reaching 40.34%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Motorola Solns's ROA excels beyond industry benchmarks, reaching 4.29%. This signifies efficient management of assets and strong financial health.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 3.85, caution is advised due to increased financial risk.

To track all earnings releases for Motorola Solns visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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