Analysis of Zebra Technologies Options Trading
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 03 2026
0mins
Should l Buy ZBRA?
Source: NASDAQ.COM
- Options Selling Risks: Selling puts on Zebra Technologies does not provide the same upside potential as owning shares, as the seller only acquires shares if the contract is exercised, and if the stock does not fall to $120, the seller only earns a 2% annualized return.
- Cost Basis Calculation: If Zebra's stock falls by 45.2% and the contract is exercised, the seller's cost basis would be $118.10 per share, and actual returns will be influenced by market prices, necessitating careful risk-reward assessment.
- Historical Volatility Analysis: With a historical volatility of 48%, and considering the last 251 trading days' closing prices alongside the current price of $219.78, investors must evaluate whether selling puts at the $120 strike represents a worthwhile risk.
- Market Sentiment Indicator: On Tuesday, the put volume among S&P 500 components reached 1.01 million contracts, matching call volume, indicating a higher demand for puts than the long-term median ratio of 0.65, reflecting investor concerns about market volatility.
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Analyst Views on ZBRA
Wall Street analysts forecast ZBRA stock price to rise
7 Analyst Rating
4 Buy
3 Hold
0 Sell
Moderate Buy
Current: 213.780
Low
291.00
Averages
363.80
High
415.00
Current: 213.780
Low
291.00
Averages
363.80
High
415.00
About ZBRA
Zebra Technologies Corporation is engaged in the Automatic Identification and Data Capture (AIDC) industry. The Company helps organizations monitor, anticipate, and accelerate workflows by empowering their frontline and ensuring that everyone and everything is visible, connected and fully optimized. Its portfolio includes hardware, software, and services. It operates through two segments: Asset Intelligence & Tracking (AIT) and Enterprise Visibility & Mobility (EVM). The AIT segment is engaged in barcode printing and asset tracking technologies. Its product lines include barcode and card printers, radio frequency identification devices (RFID) and real-time location systems (RTLS) offerings, and supplies, including temperature-monitoring labels, and services. The EVM segment is engaged in automatic information and data capture solutions. Its product lines include mobile computing, data capture, fixed industrial scanning and machine vision, services, and workflow optimization solutions.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Analysts Recommend Zebra Technologies as Top Automation Stock
- Buy Rating Maintained: On February 17, TD Cowen analyst Joseph C Giordano maintained a 'Buy' rating on Zebra Technologies Corporation (ZBRA) with a price target of $400.00, supported by management's realistic outlook and ongoing demand and pricing strength despite negative market sentiment.
- Proactive Cost Management: Zebra Technologies has been proactive in securing components early and managing prices to mitigate risks from pricing pressures, memory costs, and reduced handheld usage due to automation, effectively addressing elevated input costs.
- 2026 Growth Outlook: Even on a conservative basis, Zebra Technologies' updated guidance for 2026 indicates rapid growth potential, with Giordano noting that this is not reflected in the current share price or valuation, suggesting market underestimation of future performance.
- Competitive Analysis: While ZBRA is viewed as a promising investment, analysts highlight that certain AI stocks offer greater upside potential and lower downside risk, indicating a shift in market preferences towards different technology sectors.
See More
Zebra Technologies Rises to #73 in Analyst Rankings
- Analyst Ranking Update: The latest data indicates that Zebra Technologies has moved up to #73 among S&P 500 components, gaining one spot, which reflects an increased confidence from analysts regarding its future performance.
- Ranking Methodology: This ranking is derived from averaging analyst opinions for each component, suggesting a gradual improvement in market sentiment towards Zebra, which could influence investor decisions.
- Stock Price Movement: Despite the rise in analyst rankings, Zebra Technologies' stock price has decreased by approximately 9.4% year-to-date, indicating a cautious market outlook on its future growth potential.
- Market Impact Analysis: The improvement in analyst ratings may attract more investor attention to Zebra Technologies; although the current stock price is down, the rating enhancement could lay the groundwork for a future rebound in its stock price.
See More
Analysis of Zebra Technologies Options Trading
- Options Selling Risks: Selling puts on Zebra Technologies does not provide the same upside potential as owning shares, as the seller only acquires shares if the contract is exercised, and if the stock does not fall to $120, the seller only earns a 2% annualized return.
- Cost Basis Calculation: If Zebra's stock falls by 45.2% and the contract is exercised, the seller's cost basis would be $118.10 per share, and actual returns will be influenced by market prices, necessitating careful risk-reward assessment.
- Historical Volatility Analysis: With a historical volatility of 48%, and considering the last 251 trading days' closing prices alongside the current price of $219.78, investors must evaluate whether selling puts at the $120 strike represents a worthwhile risk.
- Market Sentiment Indicator: On Tuesday, the put volume among S&P 500 components reached 1.01 million contracts, matching call volume, indicating a higher demand for puts than the long-term median ratio of 0.65, reflecting investor concerns about market volatility.
See More
U.S. Stocks Plunge as Tech Sector Weighs Down Market
- Tech Sector Retreat: U.S. stocks experienced a significant decline on Thursday, with the S&P 500 down 1.57%, the Dow Jones down 1.34%, and the Nasdaq 100 down 2.04%, primarily driven by a sell-off in the Magnificent Seven tech stocks, indicating concerns over the profitability outlook in the tech sector.
- Cisco Systems Warning: Cisco Systems saw its stock plummet over 12% after forecasting that rising memory chip prices would erode profitability, raising investor concerns about future performance and potentially diminishing market confidence.
- Weak Economic Data: Initial jobless claims in the U.S. fell by 5,000 to 227,000, below the expected 223,000, while January existing home sales dropped 8.4% month-over-month to 3.91 million, marking a 16-month low, which reflects signs of economic slowdown that could impact market sentiment.
- Positive Earnings Season: Despite the overall market downturn, over 76% of S&P 500 companies that reported earnings exceeded expectations, with Q4 earnings projected to grow by 8.4%, indicating strong corporate profitability that may provide support for the market.
See More
Zebra Technologies Shares Surge on Strong Guidance
- Stock Performance: Zebra Technologies' shares rose by 10.5% at 2:50 p.m. ET on Thursday, having surged as much as 20.2% earlier in the day, indicating strong market confidence in the company's future performance and reflecting investor optimism.
- Earnings Highlights: Zebra's Q4 2025 sales increased by 10.6% year-over-year to $1.48 billion, with adjusted earnings rising from $4.00 to $4.33 per diluted share, matching analyst expectations and demonstrating robust growth in a competitive market.
- Outlook: Management anticipates revenues of approximately $1.48 billion and adjusted earnings of about $4.18 per share in the next quarter, significantly above current market projections, showcasing the company's confidence in future growth.
- Market Positioning: Despite rising hardware costs, Zebra maintains a leading position in high-growth sectors such as e-commerce and digitized healthcare records, with the CEO highlighting the company's industry leadership in AI solutions as a competitive advantage.
See More
Zebra Technologies Stock Surges 20% on Strong Guidance
- Strong Performance: Zebra Technologies reported a 10.6% year-over-year increase in Q4 sales to $1.48 billion, with adjusted earnings rising from $4.00 to $4.33 per diluted share, aligning with analyst expectations and demonstrating robust performance in a challenging market.
- Optimistic Outlook: Management anticipates revenues of approximately $1.48 billion and adjusted earnings of around $4.18 per share for the next quarter, both significantly above current Wall Street projections, reflecting strong confidence in future growth.
- AI Solutions Provider: While Zebra is not widely recognized in the AI space, its positioning as a supplier of AI solutions for frontline business operations aligns perfectly with the needs of high-growth markets such as manufacturing, e-commerce, healthcare, and fast food, highlighting its strategic significance.
- Attractive Valuation: Currently trading at 2.7 times sales and 28 times trailing earnings, Zebra's stock is considered relatively cheap when factoring in growth prospects, potentially attracting more investor interest.
See More
Analysts Recommend Zebra Technologies as Top Automation Stock
- Buy Rating Maintained: On February 17, TD Cowen analyst Joseph C Giordano maintained a 'Buy' rating on Zebra Technologies Corporation (ZBRA) with a price target of $400.00, supported by management's realistic outlook and ongoing demand and pricing strength despite negative market sentiment.
- Proactive Cost Management: Zebra Technologies has been proactive in securing components early and managing prices to mitigate risks from pricing pressures, memory costs, and reduced handheld usage due to automation, effectively addressing elevated input costs.
- 2026 Growth Outlook: Even on a conservative basis, Zebra Technologies' updated guidance for 2026 indicates rapid growth potential, with Giordano noting that this is not reflected in the current share price or valuation, suggesting market underestimation of future performance.
- Competitive Analysis: While ZBRA is viewed as a promising investment, analysts highlight that certain AI stocks offer greater upside potential and lower downside risk, indicating a shift in market preferences towards different technology sectors.
See More
Zebra Technologies Rises to #73 in Analyst Rankings
- Analyst Ranking Update: The latest data indicates that Zebra Technologies has moved up to #73 among S&P 500 components, gaining one spot, which reflects an increased confidence from analysts regarding its future performance.
- Ranking Methodology: This ranking is derived from averaging analyst opinions for each component, suggesting a gradual improvement in market sentiment towards Zebra, which could influence investor decisions.
- Stock Price Movement: Despite the rise in analyst rankings, Zebra Technologies' stock price has decreased by approximately 9.4% year-to-date, indicating a cautious market outlook on its future growth potential.
- Market Impact Analysis: The improvement in analyst ratings may attract more investor attention to Zebra Technologies; although the current stock price is down, the rating enhancement could lay the groundwork for a future rebound in its stock price.
See More
Analysis of Zebra Technologies Options Trading
- Options Selling Risks: Selling puts on Zebra Technologies does not provide the same upside potential as owning shares, as the seller only acquires shares if the contract is exercised, and if the stock does not fall to $120, the seller only earns a 2% annualized return.
- Cost Basis Calculation: If Zebra's stock falls by 45.2% and the contract is exercised, the seller's cost basis would be $118.10 per share, and actual returns will be influenced by market prices, necessitating careful risk-reward assessment.
- Historical Volatility Analysis: With a historical volatility of 48%, and considering the last 251 trading days' closing prices alongside the current price of $219.78, investors must evaluate whether selling puts at the $120 strike represents a worthwhile risk.
- Market Sentiment Indicator: On Tuesday, the put volume among S&P 500 components reached 1.01 million contracts, matching call volume, indicating a higher demand for puts than the long-term median ratio of 0.65, reflecting investor concerns about market volatility.
See More
U.S. Stocks Plunge as Tech Sector Weighs Down Market
- Tech Sector Retreat: U.S. stocks experienced a significant decline on Thursday, with the S&P 500 down 1.57%, the Dow Jones down 1.34%, and the Nasdaq 100 down 2.04%, primarily driven by a sell-off in the Magnificent Seven tech stocks, indicating concerns over the profitability outlook in the tech sector.
- Cisco Systems Warning: Cisco Systems saw its stock plummet over 12% after forecasting that rising memory chip prices would erode profitability, raising investor concerns about future performance and potentially diminishing market confidence.
- Weak Economic Data: Initial jobless claims in the U.S. fell by 5,000 to 227,000, below the expected 223,000, while January existing home sales dropped 8.4% month-over-month to 3.91 million, marking a 16-month low, which reflects signs of economic slowdown that could impact market sentiment.
- Positive Earnings Season: Despite the overall market downturn, over 76% of S&P 500 companies that reported earnings exceeded expectations, with Q4 earnings projected to grow by 8.4%, indicating strong corporate profitability that may provide support for the market.
See More
Zebra Technologies Shares Surge on Strong Guidance
- Stock Performance: Zebra Technologies' shares rose by 10.5% at 2:50 p.m. ET on Thursday, having surged as much as 20.2% earlier in the day, indicating strong market confidence in the company's future performance and reflecting investor optimism.
- Earnings Highlights: Zebra's Q4 2025 sales increased by 10.6% year-over-year to $1.48 billion, with adjusted earnings rising from $4.00 to $4.33 per diluted share, matching analyst expectations and demonstrating robust growth in a competitive market.
- Outlook: Management anticipates revenues of approximately $1.48 billion and adjusted earnings of about $4.18 per share in the next quarter, significantly above current market projections, showcasing the company's confidence in future growth.
- Market Positioning: Despite rising hardware costs, Zebra maintains a leading position in high-growth sectors such as e-commerce and digitized healthcare records, with the CEO highlighting the company's industry leadership in AI solutions as a competitive advantage.
See More
Zebra Technologies Stock Surges 20% on Strong Guidance
- Strong Performance: Zebra Technologies reported a 10.6% year-over-year increase in Q4 sales to $1.48 billion, with adjusted earnings rising from $4.00 to $4.33 per diluted share, aligning with analyst expectations and demonstrating robust performance in a challenging market.
- Optimistic Outlook: Management anticipates revenues of approximately $1.48 billion and adjusted earnings of around $4.18 per share for the next quarter, both significantly above current Wall Street projections, reflecting strong confidence in future growth.
- AI Solutions Provider: While Zebra is not widely recognized in the AI space, its positioning as a supplier of AI solutions for frontline business operations aligns perfectly with the needs of high-growth markets such as manufacturing, e-commerce, healthcare, and fast food, highlighting its strategic significance.
- Attractive Valuation: Currently trading at 2.7 times sales and 28 times trailing earnings, Zebra's stock is considered relatively cheap when factoring in growth prospects, potentially attracting more investor interest.
See More
