{
  "docId": "019dd923-622c-750b-8b99-8e3ed32b40dc",
  "docSlug": "5a3c61f9c8f5",
  "documentTitle": "Zebra Technologies Corp. (ZBRA)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2024-08-08 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 108,
  "pageCount": 109,
  "prevPage": 107,
  "nextPage": 109,
  "slideType": "valuation_table",
  "function": "show_valuation_bridge",
  "density": "dense",
  "nDataPoints": 48,
  "notes": "The slide uses a sum-of-the-parts valuation approach to justify a significant downside risk.",
  "elementsJson": [
    "valuation_table",
    "callout_box"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b99-8e3ed32b40dc/108",
  "deckHref": "/decks/019dd923-622c-750b-8b99-8e3ed32b40dc",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b99-8e3ed32b40dc.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-8e3ed32b40dc#slide-108",
  "components": [
    {
      "bbox": {
        "h": 0.11,
        "w": 0.37,
        "x": 0.61,
        "y": 0.575
      },
      "kind": "callout",
      "text": "Growth is slowing to low single digits and margins are ~20% below what a typical SaaS company would have. Heavy exposure to retail sector should warrant a valuation discount.",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "367b24f4-59c6-4173-8c6e-133886540520",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.1,
        "w": 0.37,
        "x": 0.61,
        "y": 0.335
      },
      "kind": "callout",
      "text": "Machine vision, fixed industrial scanning, and robotics acquisitions where it appears Zebra overpaid, and performance has since languished.",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "68a9bc63-ffde-473e-9031-a0206c70ca54",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.37,
        "x": 0.61,
        "y": 0.225
      },
      "kind": "callout",
      "text": "Zebra last claimed mid-teens growth which appears to be below the industry growth rate.",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "b91fb56b-cdde-4e7b-a49e-c33cae673436",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.37,
        "x": 0.61,
        "y": 0.465
      },
      "kind": "callout",
      "text": "Approximately 1.3% annual growth since 2019 (including M&A and price increases) with declining gross margins.",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "dfa875e0-b4b0-4439-b637-9fe71995a32e",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Estimated Share Price: -65% to -80%",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd953-0931-74b9-a324-b7fa36143275",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.6,
        "x": 0.02,
        "y": 0.95
      },
      "kind": "source-note",
      "text": "Source: Company financials, Spruce Point research. 1) Includes accrued unremitted payables to banks for accounts receivable factoring programs",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "fe7c780e-c18a-4727-95e9-c539675d2049",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.75,
        "w": 0.58,
        "x": 0.02,
        "y": 0.16
      },
      "kind": "table",
      "text": "Illustrative Sales Multiple Scenarios table",
      "attrs": null,
      "subkind": "valuation",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "ca31911b-fa26-407c-aaec-1fdea1cbda0d",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.12,
        "w": 0.68,
        "x": 0.28,
        "y": 0.02
      },
      "kind": "title",
      "text": "Spruce Point Estimates 65% – 80% Downside Risk Potential To Zebra's Share Price",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "fe7a7524-bc57-4006-b535-a8e2cae0650d",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "sum-of-the-parts-valuation",
      "slug": null,
      "matchId": "9264646c-3206-4057-9d0c-a9bc926855e0",
      "evidence": "Breakdown of enterprise value by business segment (RFID, Emerging Tech, Hardware, Services & Software)",
      "confidence": 0.9
    }
  ],
  "arcBeats": [
    {
      "to": 109,
      "from": 8,
      "beatId": "4cbc18df-e399-4c42-aa2d-07d690208cbf",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Expose Contradictions",
      "beatSlug": null,
      "evidence": "The document is filled with slides exposing contradictions in Zebra's statements, financial reports, and business practices.",
      "position": 0,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    }
  ],
  "loops": [
    {
      "to": 109,
      "from": 5,
      "name": "Logic Chain",
      "slug": "01-logic-chain",
      "bestFor": "Skeptical audiences, controversial recommendations, rigorous analysis",
      "matchId": "87880212-cbbe-4e05-9d94-1053e50417ab",
      "evidence": "The document presents a series of logical arguments and evidence to support its thesis.",
      "position": 0,
      "objective": "To present a logical chain of evidence supporting the short-selling thesis",
      "structure": "Premise 1 (Accepted truth) -> Premise 2 (Observed fact) -> Therefore... (Inevitable conclusion)",
      "confidence": 0.8,
      "description": "Build an airtight chain of logic where each premise leads inevitably to the conclusion"
    },
    {
      "to": 109,
      "from": 103,
      "name": "Cost Of Inaction",
      "slug": "27-cost-of-inaction",
      "bestFor": "Urgent budget requests, compliance, risk mitigation",
      "matchId": "5c4fe31c-a26f-49ed-b71a-7a8c4a777bac",
      "evidence": "The document emphasizes the potential downside risk for investors who do not take action.",
      "position": 2,
      "objective": "To emphasize the cost of inaction for investors who fail to adjust their positions",
      "structure": "The Status Quo -> The Hidden Costs Accumulating -> The Future State of Inaction -> The Tipping Point",
      "confidence": 0.6,
      "description": "Quantify what happens if the audience does nothing"
    }
  ],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}