In a research report released today, Roth Capital analyst Dave King maintained a Neutral rating on Zagg (NASDAQ:ZAGG) with a price target of $5.50, which represents a potential upside of 8% from where the stock is currently trading. The report follows the company’s third-quarterr results, posting EPS of ($0.14), below Roth’s $0.08 estimate and consensus of $0.07.
King noted, “ZAGG’s reported loss of $0.14 was well below expectations as stronger revenue in screen protectors and keyboards was offset by a $0.21/share inventory write-down and further core gross margin pressure. Management raised full year revenue guidance, but lowered EBITDA beyond the amount implied by the inventory write-down and further freight charges. Our Neutral reflects concerns surrounding ZAGG’s device launch-dependence and the viability of certain product categories, though others are gaining traction.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Dave King has a total average return of -1.5% and a 53.2% success rate. King is ranked #2712 out of 3362 analysts.