LINCOLNSHIRE, Ill. — Zebra Technologies Corporation (NASDAQ: ZBRA) shares exploded higher Tuesday, surging 16.75% or $253.31 to trade near $1,765 midday as investors cheered better-than-expected first-quarter 2026 results and an upgraded full-year forecast. The massive move made Zebra one of the top performers on the S&P 500, reflecting renewed confidence in the company’s automation, RFID and AI-driven growth strategy amid recovering demand for its enterprise technology solutions.

The company reported net sales of $1.495 billion for the quarter ended April 4, up 14.3% from the prior year and ahead of analyst expectations around $1.48 billion. Non-GAAP diluted earnings per share reached $4.75, topping consensus estimates of approximately $4.26 by a solid margin. Net income stood at $135 million, or $2.72 per diluted share on a GAAP basis.

Zebra also raised its full-year 2026 guidance, signaling broad-based strength across segments and regions. The upbeat update, combined with strong execution in key growth areas like automation and data capture, triggered aggressive buying as the market rewarded the company’s ability to navigate a challenging environment.

Strong Demand Across Key Markets

Zebra Technologies, a global leader in digitizing and automating workflows, saw robust performance in its Connected Frontline and Enterprise Visibility & Mobility segments. Management highlighted double-digit growth in several regions and strong contributions from RFID, machine vision and AI-enabled solutions. The results reflect improving enterprise spending on technologies that enhance supply chain visibility, warehouse efficiency and frontline worker productivity.

CEO Bill Burns expressed optimism about the company’s positioning. “We delivered strong first-quarter performance with broad-based growth across segments and regions,” he said in the earnings release. The company noted particular momentum in high-value areas such as retail, manufacturing and logistics, where customers are investing in intelligent automation to drive operational improvements.

Analysts reacted positively to the beat and raised outlook. TD Cowen reiterated a Buy rating with a $400 price target, while others highlighted Zebra’s ability to capitalize on secular trends in automation and AI. The stock’s sharp move underscores how sensitive the name remains to quarterly execution in the current market environment.

Strategic Focus on AI and Automation

Zebra has aggressively invested in emerging technologies, including AI-powered solutions that integrate with its core barcode scanning, mobile computing and RFID offerings. These innovations are helping customers achieve greater efficiency and real-time decision-making capabilities. The company’s recent acquisitions and internal development efforts continue to expand its addressable market in the rapidly growing intelligent operations space.

The raised 2026 outlook reflects confidence in sustained demand. Zebra now expects stronger revenue and earnings growth for the full year, with management pointing to healthy order pipelines and improving macroeconomic conditions in key end markets. This marks a meaningful upward revision that alleviated investor concerns about demand softness seen in prior periods.

Market Reaction and Technical Picture

Trading volume spiked dramatically on the news, far exceeding average levels as both institutional and retail investors piled in. The stock broke through recent resistance levels and approached multi-month highs. Technical analysts noted strong momentum indicators and bullish chart patterns following the earnings release.

Despite the impressive gain, some observers cautioned that the move could invite short-term profit-taking given the stock’s rapid ascent. However, the overwhelming sentiment remains constructive, with most Wall Street firms maintaining Buy ratings and price targets well above current levels.

Company Background and Outlook

Zebra Technologies provides hardware, software, services and solutions that help organizations digitize and automate workflows. Its products are used extensively in retail, warehousing, manufacturing, transportation and healthcare settings worldwide. The company has transformed itself from a barcode printing specialist into a broader enterprise asset intelligence provider.

Looking ahead, Zebra expects continued momentum in the second half of 2026, supported by new product launches, expanded customer relationships and favorable secular trends. Management emphasized disciplined capital allocation and operational efficiency alongside growth investments.

For investors, today’s surge highlights Zebra’s potential as a beneficiary of digital transformation and automation megatrends. While the stock carries typical technology sector volatility, the combination of earnings strength and raised guidance reinforces its position as a leader in critical industrial and enterprise technologies.

As the market digests the results, Zebra Technologies stands out as a standout performer in 2026, rewarding shareholders who bet on its long-term vision for intelligent operations and workflow automation. The company’s ability to deliver consistent beats and upward revisions positions it well for further gains if execution remains strong.

The summer box office is off to a sizzling start — and it’s only getting started.

Over the weekend, domestic ticket sales topped $161 million, a nearly 88% improvement over the same three-day frame in 2025. Disney and 20th Century Studio’s “The Devil Wears Prada 2” led the pack, adding $41.6 million during its second week, followed by Warner Bros.‘ “Mortal Kombat II,” which snared $38.5 million during its opening. Lionsgate’s “Michael” brought in another $37.9 million in its third week in theaters.

The weekend was bolstered by new releases like Amazon MGM’s “The Sheep Detectives” and Paramount’s “Billie Eilish — Hit Me Hard and Soft: The Tour” as well as holdovers from Universal’s “The Super Mario Galaxy Movie,” which is in its sixth week, and Amazon’s “Project Hail Mary,” which is in its eighth week.

Together, they made for a standout weekend at the movies as the industry chases a $10 billion annual U.S. box office.

“The second weekend in May often provides solid returns from newcomers that bridge the gap between the opening weekend of the summer and the important Memorial Weekend coming up in about 2 weeks,” said Paul Dergarabedian, head of marketplace trends at Comscore. “But the impressive long-term playability of ‘The Super Mario Galaxy Movie’ and ‘Project Hail Mary’ serve as a reminder of the vital importance of holdover strength to the overall health of the industry.”

Of the top 10 performers of the weekend, seven were returning titles. Five of those films reported a drop in ticket sales of less than 50% from the prior weekend, according to data from Comscore.

For box office analysts this is an important metric. Typically, movies will see a 50% to 70% drop each weekend. When ticket sales post smaller declines week after week, it means a film is generating strong word-of-mouth buzz and new moviegoers are buying tickets — or that audiences are returning to see the film again.

“The Devil Wears Prada 2” saw a 46% drop in second-week ticket sales, “Michael” declined just 30% between its second and third week in theaters, and “The Super Mario Galaxy Movie” saw a 45% dip from its fifth to sixth weekend. Most impressive is “Project Hail Mary,” which fell just 23% in its eighth week. Ticket sales for Neon’s “Hokum” were down 49% in its second week.

These trends bode well for the domestic box office. Through Sunday, the 2026 calendar has generated $3.02 billion, a 16% jump from the same period last year, Comscore data shows.

“From a high-level view, it’s fair to suggest escapism and ease of access may be important factors,” said Shawn Robbins, director of analytics at Fandango and founder of Box Office Theory. “Historically, while ticket prices have also increased over time, going to the theater remains one of the more affordable out-of-house entertainment options for individuals, couples, and families who may or may not have spring and summer vacation plans in flux due to other economic uncertainties and hardships.”

Ticket sales still lag from 2019 levels, the last true benchmark before the pandemic stymied moviegoing. At this point in the year in 2019, the box office had secured $3.8 billion domestically. However, more than $720 million of that was from the record-breaking release of Disney and Marvel’s “Avengers: Endgame.”

The summer movies season, which runs from the first weekend in May through Labor Day in September, is also about to get a boost from several blockbuster titles.

Disney’s first new Star Wars theatrical release in seven years arrives in late May with “The Mandalorian and Grogu.” It will be followed by Pixar’s “Toy Story 5” in June alongside Warner Bros. “Supergirl.” Then in July, Disney has the live-action “Moana,” Universal is set to release Christopher Nolan’s “The Odyssey” and Sony’s “Spider-Man: Brand New Day.”

“Ebbs and flows will naturally occur within the full year’s box office narrative as they always have,” Robbins said. “Momentum is as good as the most recent hit or misfire, but the bottom line right now is that the industry is enjoying something near a best-case realistic scenario with so much success on the books before the heart of a high-potential summer movie season fully arrives”

Disclosure: CNBC and Fandango are divisions of Versant Media.

The S&P 500 and the Nasdaq closed lower on ​Tuesday, easing from record highs as hotter-than-expected inflation data and an increasingly tenuous U.S.-Iran ceasefire prompted investors to take money off the table near the end of a robust first-quarter earnings season. Weakness in tech shares dragged the Nasdaq down the most, while healthcare stocks, buoyed by a jump in Humana, helped keep the Dow ‌in positive territory.

Despite the ⁠selloff, the ⁠S&P 500 and the Nasdaq remain close to all-time highs.

As reporting season wraps up, investors are increasingly focused on valuations, macroeconomics and geopolitical developments.

While the PHLX Semiconductor index tumbled, ​the index has soared over 60% this year, benefiting from the fervor about artificial intelligence.

“Our call has been for the market to flatten out simply because ​greed occurs during earnings season and fear after,” said Jay Hatfield, CEO and portfolio manager at InfraCap in New York.

CONSUMER PRICE RISE DISAPPOINTS Economic data showed consumer prices rising at a faster pace than analysts anticipated as the closure of the Strait of Hormuz due to the war ​with Iran continued to disrupt crude supply.
“Inflation is not getting any better unless ⁠oil prices ‌go down,” Hatfield added. “That’s the history that you can set your watch by.” The Iran war, in its 11th week, ​showed no signs ​of a near-term resolution. U.S. President Donald Trump declared the truce was “on life support” after Tehran rejected ⁠a U.S. proposal to end the conflict, sticking with a list of demands Trump ​called “garbage.” The notion of a protracted conflict raises the probability that spiking energy prices could metastasize into ​broader, more entrenched inflation. That has all but squelched hopes for an interest rate cut from the Fed this year under the presumed chairmanship of Kevin Warsh, whom the U.S. Senate confirmed to the Fed board on Tuesday.”Warsh is not going to be able to cut rates even if he wants to, and I don’t think he will want to,” Hatfield said, adding he was optimistic about Warsh’s Fed reform plans.

The odds of a rate hike are rising. Financial markets are pricing more than a 30% likelihood that the central bank ‌will implement a 25-basis-point increase to its Fed funds target rate in December, up from 21.5% on Monday, according to CME’s FedWatch tool. Trump is scheduled to travel to Beijing this week to meet Chinese counterpart Xi Jinping to ​address a wide array ​of issues, including tariffs, U.S. military aid ⁠to Taiwan, China’s potential role in brokering a peace deal with Iran, and the extension of a trade agreement regarding critical rare earth metals.

According to preliminary data, the S&P 500 lost 11.16 points, or 0.15%, to end at 7,401.68 points, while the Nasdaq Composite lost 184.67 points, ​or 0.70%, to 26,089.45. The Dow Jones Industrial Average rose 71.37 points, or 0.14%, to 49,775.84.

Humana advanced following Bernstein’s 36% price target hike. GameStop dipped following eBay’s rejection of the meme stock trailblazer’s $56 billion takeover bid.

Zebra Technologies jumped after the barcode scanner maker raised its annual sales growth forecast, betting on robust demand for its products that help automate manufacturing workflows. Hims & Hers Health tumbled after the telehealth firm missed Wall Street estimates for first-quarter revenue and posted a surprise loss.

Venture Global jumped after the LNG exporter raised its annual adjusted core profit forecast.

DETROIT — An ominous email about an oddly timed 15-minute virtual meeting. A scripted message from human resources. And an abrupt end to that meeting, as well as their job.

That’s how General Motors employees who were laid off Monday by the Detroit automaker described their jobs being terminated to CNBC.

“No appreciation or empathy. No questions. Nothing,” said a data analyst who worked for more than a decade at the automaker.

The layoffs affect about 500 to 600 employees, largely in information technology roles in Austin, Texas, and Warren, Michigan, according to a person at GM familiar with the layoffs who asked not to be named in order to speak about details that had not been made public. The layoffs came as the automaker reevaluates its workforce needs and cuts costs amid uncertain market conditions.

The two laid-off workers, who asked not to be named for fear of repercussions or impacts to potential future jobs, said their units had gone through recent restructurings and that they were being encouraged to use artificial intelligence more in their work.

“They’re going to push AI for everyday work and everything else,” said a veteran programmer and data scientist for the company. “I’ve seen it firsthand. It can make you much more productive, as a programmer. It can really help you get more work done, but AI isn’t going to do you any good if you don’t know the business.”

Automakers, like many major companies, are using AI to help workers make their jobs more efficient, but the emerging technology also has led to layoffs. Companies such as Amazon, Meta, Oracle and Block have announced rounds of job cuts, with some emphasizing AI’s role in automating work and boosting productivity with lower head counts.

GM declined to discuss the role AI played in its most recent layoffs or give additional details of reasoning for the job cuts outside of a statement Monday: “GM is transforming its Information Technology organization to better position the company for the future. As part of that work, we have made the difficult decision to eliminate certain roles globally. We are grateful for the contributions of the employees affected and are committed to supporting them through this transition.”

The person at GM familiar with the layoffs told CNBC that AI played a role in the decision, as it continues to hire people with such skill sets, but it was not the only reason for the terminations.

The data scientist employee said they had been using and learning more about AI for months to try to fulfill what they thought GM wanted out of their team.

Despite Monday’s cuts, GM is still hiring IT workers. The company as of Tuesday had roughly 80 open IT positions that include jobs working in AI, motorsports and autonomous vehicles, according to the Detroit automaker’s careers website.

The layoffs affected employees with a wide array of seniority, according to the people who asked not to be named.

An overview of the GM Severance Program sent to affected employees and viewed by CNBC offered severance of two months for those who had one to four years of experience. That scales up, and employees with eight years of experience get four months of severance, for example. At the top of the scale, GM is offering six months of severance for employees who had worked at the company for 12 or more years.

Lump-sum payments toward health care between $2,000 and $6,000 also will be provided, according to the documents. Any unused vacation or sick time was forfeited unless such actions violated state laws.

GM also offered services through mental health care company Lyra “for navigating job loss” and career coaching and future job assistance through outplacement services company LHH.

“Experiencing job loss can bring a complex mix of emotions, including stress, sadness, and even confusion. As you navigate this time of change, please know that support is available,” one of the documents read.

All benefits are pending employees signing a release agreement, according to the documents. They also must, if applicable, return their company vehicles and any equipment.

Shares in Delivery Hero DHER 2.71%increase; green up pointing triangle climbed after Prosus agreed to sell part of its stake in the company to Aspex Management for around 335 million euros ($394.9 million), marking the latest step in reducing its shareholding in the German delivery company.

The move comes weeks after it sold around 4.5% of its stake in Delivery Hero to U.S. tech company Uber, as part of remedies tied to its acquisition of Just Eat Takeaway.

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