Undervalued Innovation Leaders: Why Logitech, LG Display, Identiv, and TransAct Technologies Offer High-Conviction Opportunities in 2026

The Zacks Industry Outlook 2026 paints a compelling picture for the Computer-Peripheral Equipment sector, where innovation and macroeconomic tailwinds are converging to create opportunities for companies like Logitech (LOGI), LG Display (LPL), Identiv (INVE), and TransAct Technologies (TACT). These firms are not merely surviving in a volatile market-they are strategically positioned to thrive amid shifting consumer preferences, technological advancements, and global demand for digital transformation. For investors seeking high-conviction opportunities, their unique value propositions and alignment with sector-specific trends make them standouts in 2026.

Logitech: Dominating the Professional Gaming Revolution

Logitech's leadership in gaming peripherals is a testament to its ability to capitalize on the explosive growth of e-sports and professional gaming. The Zacks Industry Outlook notes that demand for high-performance gaming accessories is surging as consumers shift from mobile gaming to immersive, PC-based experiences. This trend is further amplified by the rise of e-sports leagues, which require specialized equipment to meet the demands of competitive play. Logitech's ecosystem of keyboards, mice, and headsets-designed for precision and durability-positions it as a key beneficiary of this transition.

Moreover, the company's recent investments in AI-enhanced hardware, such as adaptive lighting and voice recognition, align with the broader industry shift toward on-device AI capabilities in PCs. As the PC refreshment cycle gains momentum, Logitech's brand strength and product innovation should drive sustained demand, even in a macroeconomic climate where discretionary spending remains cautious.

LG Display: Pioneering Touchscreen and Smart Glasses Technology

LG Display's expertise in advanced display technologies places it at the forefront of the touchscreen and smart glasses revolution. The Zacks analysis highlights the growing adoption of touchscreen devices across industries, from retail kiosks to healthcare diagnostics. LG Display's flexible OLED panels and energy-efficient solutions are particularly well-suited for next-generation smart glasses, a market expected to expand as augmented reality (AR) applications mature.

A critical tailwind for LG Display is the global PC shipment rebound, driven by commercial demand for AI-ready hardware. With enterprises prioritizing modernization, LG Display's partnerships with OEMs to supply high-resolution, low-latency displays will likely strengthen its market position. However, the company must navigate near-term headwinds, including U.S. tariff policies that could inflate costs for import-dependent operations.

Identiv: Securing the RFID-Enabled IoT Ecosystem

Identiv's dominance in RFID solutions underscores its role in enabling the Internet of Things (IoT). The Zacks Consensus Estimate projects a narrowing 2026 loss for Identiv, reflecting improved operational efficiency and growing demand for its secure authentication technologies. RFID's adoption in retail inventory management, healthcare asset tracking, and logistics is accelerating, driven by the need for real-time data and automation.

What sets Identiv apart is its focus on niche markets, such as secure access control and anti-counterfeiting solutions, where margins are higher and competition is fragmented. While macroeconomic pressures like inflation may slow enterprise IT spending, the critical nature of RFID in supply chain resilience ensures demand remains resilient. Identiv's ability to innovate in hardware-software integration-such as its recent foray into blockchain-enabled RFID-further cements its long-term potential.

TransAct Technologies: Powering the Digital Transformation of Transactions

TransAct Technologies, a Zacks Rank #2 company, is capitalizing on the digitization of transaction-based systems. Its thermal printers and software solutions are in high demand across point-of-sale (POS), gaming, and financial services sectors, where contactless payments and regulatory compliance are priorities. The Zacks Industry Outlook emphasizes that TransAct's products are essential for businesses automating workflows, a trend accelerated by the post-pandemic push for touchless interactions.

A key differentiator for TransAct is its recurring revenue model, derived from consumables like thermal ribbons and software subscriptions. This provides stability even as macroeconomic uncertainty lingers. Additionally, the company's expansion into emerging markets-where low-cost, high-quality printers are in demand-positions it to benefit from the Asia Pacific and Middle East & Africa's growing middle class.

Sector Tailwinds and Macro Risks

The Computer-Peripheral Equipment industry's #32 rank in the Zacks sectoral hierarchy reflects its strong earnings potential, driven by innovation cycles and global demand. However, investors must remain mindful of near-term risks, including high interest rates, inflation, and U.S. tariffs, which could dampen consumer and enterprise spending. For companies like Logitech, LG Display, Identiv, and TransAct, the ability to differentiate through R&D and strategic partnerships will be critical to mitigating these pressures.

Conclusion

While the macroeconomic environment remains challenging, the Computer-Peripheral Equipment sector offers a rare combination of innovation-driven growth and defensive resilience. Logitech, LG Display, Identiv, and TransAct Technologies exemplify how strategic positioning-whether through gaming expertise, display innovation, RFID leadership, or transaction automation-can unlock value in 2026. For investors with a medium- to long-term horizon, these firms represent compelling opportunities to bet on the next phase of digital transformation.