Zacks Research Issues Optimistic Forecast for MSI Earnings

Key Points

• Analysts at Zacks Research have raised their Q3 2026 earnings estimate for Motorola Solutions to $4.17 per share, an increase from the previous estimate of $4.12.
• Motorola Solutions reported a Q2 EPS of $3.57, exceeding analyst expectations of $3.36, with a net margin of 19.08% and revenue up 5.2% year-over-year.
• The company has recently made an acquisition valued at $4.4 billion, which intensifies competition within the sector, as noted by various analysts.

Motorola Solutions, Inc. (NYSE:MSI - Free Report) - Zacks Research increased their Q3 2026 earnings estimates for shares of Motorola Solutions in a research report issued on Tuesday, September 9th. Zacks Research analyst Team now expects that the communications equipment provider will earn $4.17 per share for the quarter, up from their prior forecast of $4.12. The consensus estimate for Motorola Solutions' current full-year earnings is $13.55 per share.

Motorola Solutions (NYSE:MSI - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The communications equipment provider reported $3.57 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $3.36 by $0.21. The business had revenue of $2.77 billion during the quarter, compared to analysts' expectations of $2.74 billion. Motorola Solutions had a net margin of 19.08% and a return on equity of 134.30%. The firm's quarterly revenue was up 5.2% compared to the same quarter last year. During the same period in the prior year, the company earned $3.24 EPS. Motorola Solutions has set its Q3 2025 guidance at 3.820-3.870 EPS. FY 2025 guidance at 14.880-14.980 EPS.

Other equities analysts have also recently issued reports about the stock. Wolfe Research began coverage on shares of Motorola Solutions in a research report on Monday, July 7th. They issued a "peer perform" rating for the company. UBS Group upped their price target on shares of Motorola Solutions from $490.00 to $510.00 and gave the company a "buy" rating in a research report on Friday, August 8th. William Blair restated an "outperform" rating on shares of Motorola Solutions in a research report on Wednesday, May 28th. Barclays decreased their price target on shares of Motorola Solutions from $511.00 to $509.00 and set an "overweight" rating for the company in a research report on Friday, August 8th. Finally, Evercore ISI upped their price target on shares of Motorola Solutions from $500.00 to $525.00 and gave the company an "outperform" rating in a research report on Friday, August 29th. Eight research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $516.13.

Motorola Solutions Price Performance

MSI stock traded down $8.39 during trading on Wednesday, reaching $481.91. 793,131 shares of the company were exchanged, compared to its average volume of 881,179. The company has a debt-to-equity ratio of 3.86, a current ratio of 1.73 and a quick ratio of 1.54. Motorola Solutions has a twelve month low of $388.90 and a twelve month high of $507.82. The company has a 50-day moving average of $448.80 and a two-hundred day moving average of $429.79. The company has a market capitalization of $80.29 billion, a price-to-earnings ratio of 38.80, a P/E/G ratio of 3.92 and a beta of 0.96.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. boosted its stake in Motorola Solutions by 1.8% during the second quarter. Vanguard Group Inc. now owns 21,885,593 shares of the communications equipment provider's stock worth $9,202,016,000 after acquiring an additional 384,479 shares in the last quarter. State Street Corp boosted its stake in Motorola Solutions by 1.3% during the second quarter. State Street Corp now owns 7,681,622 shares of the communications equipment provider's stock worth $3,237,985,000 after acquiring an additional 101,408 shares in the last quarter. Geode Capital Management LLC boosted its stake in Motorola Solutions by 1.2% during the second quarter. Geode Capital Management LLC now owns 4,386,899 shares of the communications equipment provider's stock worth $1,839,569,000 after acquiring an additional 51,474 shares in the last quarter. Raymond James Financial Inc. boosted its stake in Motorola Solutions by 0.8% during the second quarter. Raymond James Financial Inc. now owns 3,401,738 shares of the communications equipment provider's stock worth $1,430,295,000 after acquiring an additional 27,206 shares in the last quarter. Finally, Alliancebernstein L.P. boosted its stake in Motorola Solutions by 1.6% during the first quarter. Alliancebernstein L.P. now owns 2,921,004 shares of the communications equipment provider's stock worth $1,278,845,000 after acquiring an additional 47,368 shares in the last quarter. 84.17% of the stock is owned by institutional investors.

Insider Activity

In other news, SVP James A. Niewiara sold 1,700 shares of the stock in a transaction on Thursday, September 11th. The shares were sold at an average price of $485.43, for a total transaction of $825,231.00. Following the completion of the sale, the senior vice president directly owned 14,542 shares in the company, valued at $7,059,123.06. This represents a 10.47% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Gregory Q. Brown sold 25,000 shares of the stock in a transaction on Wednesday, September 10th. The stock was sold at an average price of $481.86, for a total transaction of $12,046,500.00. Following the sale, the chief executive officer owned 46,936 shares of the company's stock, valued at approximately $22,616,580.96. This trade represents a 34.75% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 198,493 shares of company stock valued at $92,673,278. 1.44% of the stock is owned by corporate insiders.

Motorola Solutions Cuts Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 15th. Stockholders of record on Monday, September 15th will be given a dividend of $0.0109 per share. The ex-dividend date is Monday, September 15th. This represents a $0.04 annualized dividend and a dividend yield of 0.0%. Motorola Solutions's dividend payout ratio is 35.10%.

About Motorola Solutions

Motorola Solutions, Inc provides public safety and enterprise security solutions in the United States, the United Kingdom, Canada, and internationally. The company operates in two segments, Products and Systems Integration, and Software and Services. The Products and Systems Integration segment offers a portfolio of infrastructure, devices, accessories, and video security devices and infrastructure, as well as the implementation and integration of systems, devices, software, and applications for government, public safety, and commercial customers who operate private communications networks and video security solutions, as well as manage a mobile workforce.