Zebra Technologies Q2 Earnings and Revenue Exceed Estimates, Shares Jump 20%

ZBRA shares jumped 20% after Zebra Technologies posted second-quarter 2026 results that beat Wall Street on both the top and bottom lines. Net sales climbed more than 20% year-over-year to roughly $1.56 billion, well ahead of analyst estimates near $1.5 billion, while adjusted earnings per share cleared consensus by close to $2. The stock's move sent shares to a fresh 52-week high of $352.65.

Management pointed to broad-based strength across its Asset Visibility and Automation segment, with printing, scanning, and machine-vision products leading demand, alongside resilient transportation and logistics orders despite tough year-ago comparisons. Zebra frames itself as a foundation for intelligent warehouse operations in a served market it estimates at roughly $35 billion, where the majority of warehouses have yet to adopt meaningful automation, a backdrop the company says supports a multiyear growth runway.

On the back of the quarter, Zebra raised its full-year non-GAAP EPS guidance to a range of $20.75 to $21.25, up sharply from the $18.30 to $18.70 range it had guided to in May, and it now expects full-year sales growth of 14% to 16% with adjusted EBITDA margin of 23.5% to 24%. The company also flagged an estimated $120 million memory-cost headwind for the year, which it said would require continued price increases to offset.

The scale of the guidance raise, combined with the magnitude of Wednesday's 20% rally, suggests investors read the quarter as evidence that automation demand is broadening rather than plateauing. Whether that pace holds could depend on how durable the memory-supply dynamics prove and whether large-scale automation deployments continue converting at the rate management described on the call.

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