11:56 AM EST, 12/02/2024 (MT Newswires) -- Zebra Technologies ( ZBRA ) is set to see a "more balanced" risk-reward in the near term and minimal downside to its 2025 estimates amid improving demand trends and normalizing large customer activity, Morgan Stanley said in a note Monday.

"We believe ZBRA's underlying demand environment is in a healthier position today," the investment firm said, noting that the retail, e-commerce, and travel and leisure sectors continue to stabilize.

According to Morgan Stanley, Zebra Technologies' ( ZBRA ) large North American projects picked up in Q3 and this momentum is expected to continue into Q4. The investment firm also said the company's 2025 estimates are "de-risked," with a potential for a "meaningful refresh recycle."

Morgan Stanley upgraded Zebra Technologies ( ZBRA ) to equal-weight from underweight, with a higher price target of $400 from $305.

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