Barclays Raises Price Target for Logitech International to $107.00 USD.

Barclays raised the price target for Logitech International (LOGI) from $92.00 to $107.00, a 16.30% increase, while maintaining an "Overweight" rating. The average target price from 7 analysts is $90.87, with a high estimate of $108.00 and a low estimate of $76.12. The average brokerage recommendation is 2.8, indicating a "Hold" status.

Logitech International S.A. (LOGI) has seen its price target elevated by Barclays, from $92.00 to $107.00, representing a 16.30% increase. This upward revision, while maintaining an "Overweight" rating, reflects the analyst's bullish outlook on the company's financial performance and future prospects. The average target price from seven analysts stands at $90.87, with estimates ranging from $76.12 to $108.00 [1].

The latest earnings report for Logitech International, released on Tuesday, July 22nd, showed strong performance, with non-GAAP earnings per share (EPS) of $1.26, surpassing the Zacks Consensus Estimate by 15.6%. Revenue for the first quarter of fiscal 2026 reached $1.15 billion, a 5% increase year-over-year on a reported basis and a 5% increase on a constant currency basis. Segment-wise, revenues from Keyboards & Combos, Pointing Devices, Tablet Accessories, and Webcams all showed positive growth, with the most significant increase seen in Tablet Accessories, up 16% [1].

Logitech's margins and operating metrics also improved, with non-GAAP gross profit increasing to $483.5 million, a 120 basis points (bps) contraction in gross margin to 42.1%. Operating expenses decreased by 2.5% year-over-year to $281.7 million, and operating income increased by 10.6% to $201.8 million. The operating margin expanded by 80 bps to 17.6% [1].

The company's liquidity position remains strong, with cash and cash equivalents at $1.49 billion as of June 30, 2025, and $125 million generated from operational activities in the first quarter. Logitech returned $122 million to shareholders through share repurchases but did not pay any dividends during the quarter [1].

Looking ahead, Logitech issued strong sales guidance for the second quarter of fiscal 2026, projecting revenues between $1.145 billion and $1.19 billion, indicating year-over-year growth of 3-7% on a reported basis and 1-5% on a constant currency basis. The company also projects non-GAAP operating profit in the range of $180-$200 million [1].

Barclays' positive outlook on Logitech International is supported by the company's strong earnings performance, solid revenue growth, and robust liquidity position. The upward revision in the price target reflects the analyst's confidence in Logitech's ability to maintain its growth trajectory and deliver shareholder value.

References:

[1] https://www.theglobeandmail.com/investing/markets/stocks/APH/pressreleases/33748506/logitechs-q1-earnings-surpass-estimates-revenues-rise-yy/