Logitech Stock Is Down Because the Company’s Pandemic-Driven Growth Is Slowing Oct. 26, 2021 at 11:39 a.m. ET by Barron's Premarket Movers: Medpace Holdings, Logitech International, Polaris
Full Answer
Should you buy Logitech stock after the analyst downgrade?
Oct 01, 2021 · Shares of Logitech International ( LOGI -2.23% ) slumped as much as 12.7% this week after Morgan Stanley downgraded its view on the stock to bearish over the next 12 months. As of 11:31 a.m. EDT ...
Should you worry about Logitech's sales growth outlook?
Jul 29, 2021 · Shares of Logitech International ( LOGI 1.14% ) are dropping significantly this week despite a rising stock market. They were down roughly 10% this week as of Thursday at 3 p.m. EDT, compared to a ...
What does Logitech do?
Oct 06, 2021 · Why Logitech International Stock Dropped 14% in September By John Ballard - Oct 6, 2021 at 10:50AM Key Points Morgan Stanley downgraded the stock to underweight, citing slowing growth. Management's...
How did Logitech’s revenue grow in FY21?
Nov 24, 2021 · the company’s non-gaap earnings plunged 44% to $1.05 per share and fell short of the zacks consensus estimate of $1.22.the dismal bottom-line performance reflects the company’s planned increased...
Why did Logitech stock drop?
Logitech Stock Is Down Because the Company's Pandemic-Driven Growth Is Slowing. Logitech stock slid Tuesday after the PC and gaming peripherals company's latest results showed a clear post-Covid slowdown in demand, with margins under pressure from global supply chain issues.Oct 26, 2021
Will Logitech stock go up?
Stock Price Forecast The 14 analysts offering 12-month price forecasts for Logitech International SA have a median target of 104.13, with a high estimate of 128.45 and a low estimate of 75.00. The median estimate represents a +59.52% increase from the last price of 65.28.
Is Logitech stock undervalued?
Logitech's stock price is undervalued by at least 28%, mostly because of uncertainties in the market about their ability to continue to grow substantially. The market prices in the downside risk, but ignores the upside potential.Jan 6, 2022
Why is Logitech stock going up?
The company's revenue didn't drop off once the initial surge in coronavirus-driven demand slackened. It booked a slight year-over-year increase in its top line last quarter. Logitech has also maintained its fiscal 2022 guidance, which calls for revenues to be about the same as they were last year.Oct 29, 2021
Is Logi a buy now?
Out of 6 analysts, 2 (33.33%) are recommending LOGI as a Strong Buy, 1 (16.67%) are recommending LOGI as a Buy, 1 (16.67%) are recommending LOGI as a Hold, 0 (0%) are recommending LOGI as a Sell, and 2 (33.33%) are recommending LOGI as a Strong Sell. What is LOGI's earnings growth forecast for 2023-2024?
Who are Logitech competitors?
Logitech's top competitors include Razer, Poly, Apple, Samsung Electronics, Incipio and Harman.
Can I buy Logitech stock?
There are currently 1 sell rating, 1 hold rating and 7 buy ratings for the stock. The consensus among Wall Street equities research analysts is that investors should "buy" Logitech International stock.
Why buy Logitech stock?
From a fundamental point of view, Logitech stock also provides a very appealing valuation given the tech company's growth opportunity and performance in recent years. Logitech stock trades a forward price-earnings ratio of 15.85 and a price-sales ratio of 2.22.Mar 2, 2022
Wall Street wanted an upgrade to the short-term growth outlook, but didn't get it on Tuesday
Demitri covers consumer goods and media companies for Fool.com, as well as broader moves in the economy. Follow @tmfsigma
What happened
Shares of Logitech International ( NASDAQ:LOGI) are dropping significantly this week despite a rising stock market. They were down roughly 10% this week as of Thursday at 3 p.m. EDT, compared to a 1.3% increase in the broader market, according to data provided by S&P Global Market Intelligence.
So what
That announcement on Tuesday showed strong momentum in the business. Robust demand for gaming peripherals and PC webcams helped lift revenue by 58% year over year after accounting for currency exchange rates. Logitech had no problem passing along higher prices, either. Gross profit margin improved to 44% from 39% a year earlier.
Now what
Sales are likely to hold flat this year but could land anywhere between a 5% decline and a 5% increase, according to Logitech. That's the same outlook executives had issued three months earlier, but investors were hoping for an upgrade.
What happened
Shares of Logitech International ( NASDAQ:LOGI) lost 13.9% in value last month, according to data provided by S&P Global Market Intelligence. Morgan Stanley analyst Erik Woodring downgraded the stock to underweight from equal weight, expecting a slowdown in growth in the near term.
So what
Logitech was delivering solid growth before the pandemic but saw growth explode last year, with more people playing games and working from home. Some of that momentum carried over to the new year, with Logitech reporting a 66% increase in sales in the most recent quarter. The analyst expects this surge in growth to come to an end.
Now what
The stock may continue to underperform in the near term, as market participants wait for the difficult growth comparisons with fiscal 2021 to move behind the company. Looking further ahead, Logitech should resume its pre-pandemic growth rates in fiscal 2023.
NASDAQ: LOGI
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What happened
Logitech International ( LOGI -0.97% ) delivered better-than-expected earnings results late Monday, but management maintained its previous outlook for flattish sales growth in fiscal 2022 (which ends in March).
So what
Logitech has been on fire since the pandemic started, and the recent quarter continued to show some of that momentum lingering even as the economy reopens. Currency-adjusted sales surged 58% year over year, or 66% on a reported basis.
Now what
Investors should bear in mind that Duval's downgrade is more short-term focused, so there's no reason to be alarmed if you own Logitech stock as a long-term investment. The analyst likes Logitech's long-term growth prospects and expects the company to beat its full-year sales forecast.
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Logitech International S.A
Logitech International SA is a holding company, which engages in the design, manufacture, and marketing of peripherals for PCs, tablets, and other digital platforms. Its products include mice, keyboards, presentation remotes, headsets, and speakers.
