Zebra Technologies (ZBRA) reported third-quarter revenue up 22.3% to a record $1.61 billion, and adjusted earnings of $4.95 per share beat the high end of management's guidance and analyst estimates. The stock fell as much as 17% in pre-market trading over margin concerns: the company expects an adjusted EBITDA margin of about 22% in Q4 and about 23.5% for full-year 2026, which would put 2027 roughly 1.5 percentage points lower to start. Higher memory chip costs grew the full-year headwind to about $145 million from $120 million in August, and Zebra raised mobile computer prices by about 15% in October to close the gap. Management said organic growth was 11.3% in the quarter and expects a multiyear refresh cycle in transportation and logistics starting in 2027. On Tuesday afternoon the stock traded near $334, about 15 times forward earnings estimates.
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