Have Motorola’s Investments In Growth Paid Off?

-3.50%
Downside
353
Market
340
Trefis
MSI: Motorola Solutions logo
MSI
Motorola Solutions

  • Motorola Solutions’ (NYSE:MSI)  growth is majorly tied to government budgets and its ability to win new contracts
  • Investments in growth help the company bolster its offerings, which helps it present a compelling case for public safety contracts
  • Also, the acquisition of smaller companies has helped Motorola kill competition and strengthen its intellectual property portfolio
  • In this note, we deduce how much the company has invested in growth over the past four years and if it has translated into growth in revenues
  • As it turns out, there appears a direct corelation between the amount invested in growth in one particular year and growth in revenues in the subsequent year
  • The analysis reveals that while small investments in growth in 2013 and 2014 could not help Motorola increase its revenues, significant investments last year and in the first quarter of 2016 can bolster revenues going forward
  • The most notable reason is the acquisition of Airwave solutions completed in Q1 2016, that has added a steady recurring revenue source to the company

Investment in growth

Have more questions about Motorola Solutions See the links below:

Relevant Articles
  1. Up 30% In The Last 12 Months, Will Motorola Solutions Stock Rally Further Following Q4 Results?
  2. What’s Happening With Motorola Solutions Stock?
  3. What’s Happening With Motorola Solutions Stock?
  4. Motorola Solutions Stock Has More Than Doubled Market Returns Since 2018- Here’s Why
  5. Motorola Solutions Stock Has Almost Doubled The S&P’s Returns Since 2018- Here’s Why
  6. Motorola Solutions Inc. Stock Looks Set To Continue Its Rally

Notes:

1) The purpose of these analyses is to help readers focus on a few important things. We hope such lean communication sparks thinking, and encourages readers to comment and ask questions on the comment section, or email content@trefis.com
2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to our complete analysis for Motorola Solutions
Interactive Institutional Research (Powered by Trefis):

Global Large CapU.S. Mid & Small CapEuropean Large & Mid Cap |More Trefis Research