This mobile accessory business beat analyst’s estimates by three cents last quarter, posting EPS of $0.13 per share. The company’s 2015 earnings forecasts have been raised by four analysts in the past month.
ZAGG Inc. (ZAGG)
From Weiss Stock Ratings Heat Maps
You may have heard of ZAGG Inc. (ZAGG, Rated B) but perhaps not taken it seriously because the name is a bit unusual. But the stock, which is part of the Best Low-Priced Stocks Heat Map, has scored impressive gains, up 62% over the last year and 14% over the last month. So here’s a look at what this company with the strange name is all about.
The company designs, produces and distributes mobile accessory solutions. It offers solutions, such as screen protection, keyboards for tablet computers and mobile devices, keyboard cases, ear-buds, mobile power solutions, cables and cases under the ZAGG and InvisibleShield brands. It does well when Apple creates new products and consumers rush to buy protection for their most prized possession—their iPhones. It does even better when Apple makes minimal changes to its new product offerings so ZAGG doesn’t have to do much reworking and retooling of its products.
Fundamentally, the company stands out. Earnings in the last quarter increased 11.3%; the bottom line turned from a loss of $4.3 million to a profit of $3.7 million; and it generated $17 million in free cash flow. It trades at only 11.7x forward earnings, a discount to its peer average of 20.7x.
That’s what ZAGG is, and it could be something that could be worth a closer look for your portfolio.
Mike Burnick, Weiss Stock Ratings Heat Maps, published by Money and Markets, a Division of Weiss Research, Inc., www.weissresearchissues.com/weiss-stock-ratings-heat-maps, 1-800-291-8545, November 19, 2015