Motorola Solutions (NYSE:MSI) Shares Gap Up After Strong Earnings

Motorola Solutions, Inc. (NYSE:MSI)’s stock price gapped up before the market opened on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $421.13, but opened at $449.61. Motorola Solutions shares last traded at $465.56, with a volume of 241,369 shares changing hands.

The communications equipment provider reported $4.59 EPS for the quarter, topping analysts’ consensus estimates of $4.35 by $0.24. Motorola Solutions had a return on equity of 118.48% and a net margin of 18.71%.The firm had revenue of $3.38 billion during the quarter, compared to analyst estimates of $3.34 billion. During the same period in the previous year, the company posted $4.04 EPS. The company’s revenue for the quarter was up 12.3% on a year-over-year basis.

Motorola Solutions Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, January 15th. Shareholders of record on Monday, December 15th were issued a dividend of $1.21 per share. The ex-dividend date of this dividend was Monday, December 15th. This represents a $4.84 dividend on an annualized basis and a yield of 1.0%. This is a positive change from Motorola Solutions’s previous quarterly dividend of $0.01. Motorola Solutions’s payout ratio is presently 38.84%.

Motorola Solutions News Summary

Here are the key news stories impacting Motorola Solutions this week:

• Positive Sentiment: Q4 2025 results beat estimates: MSI reported $4.59 EPS (above consensus) and $3.38B revenue (+12.3% YoY), with management citing record sales, earnings, cash flow and backlog — a clear near?term catalyst for the stock. Business Wire Q4 Release
• Positive Sentiment: Full?year 2026 guidance raised above consensus: EPS guidance of $16.700–$16.850 vs. Street $15.70, and revenue guided to $12.7B vs. consensus ~$12.6B — this upside to FY outlook supports multiple expansion and investor confidence. Business Wire Guidance
• Positive Sentiment: Product/market drivers: Coverage highlights MSI’s momentum in AI?driven video safety and a growing backlog that underpins recurring revenue and upsell opportunities. Analysts remain bullish, with recent coverage showing multiple Buy ratings. Yahoo Deep Dive InsiderMonkey Coverage
• Positive Sentiment: Certifications/support win: MSI’s SVX earned the highest FedRAMP authorization level — strengthens its addressable market for public sector cloud/video services. FedRAMP Notice
• Neutral Sentiment: Q1 2026 guidance is mixed: EPS guide of $3.200–$3.250 tops consensus $3.09, but revenue was guided to ~$2.7B vs. Street ~$2.8B — implies margin strength but a softer near?term revenue outlook. Business Wire Q1 Guide
• Negative Sentiment: Near?term revenue risk: the below?consensus Q1 revenue guide could pressure short?term top?line expectations and warrants watching whether backlog conversion accelerates as guided. Business Wire Q1 Guide

Analysts Set New Price Targets

Several research analysts recently weighed in on MSI shares. Weiss Ratings upgraded shares of Motorola Solutions from a “hold (c+)” rating to a “buy (b-)” rating in a report on Tuesday, January 27th. Northcoast Research upgraded Motorola Solutions from a “neutral” rating to a “buy” rating and set a $450.00 target price on the stock in a research note on Monday, December 1st. Barclays reaffirmed an “overweight” rating on shares of Motorola Solutions in a report on Thursday. Piper Sandler reiterated an “overweight” rating on shares of Motorola Solutions in a report on Thursday. Finally, Morgan Stanley restated an “overweight” rating on shares of Motorola Solutions in a research note on Thursday. Nine research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Motorola Solutions currently has an average rating of “Moderate Buy” and a consensus price target of $491.86.

Institutional Investors Weigh In On Motorola Solutions

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Andina Capital Management LLC increased its stake in shares of Motorola Solutions by 4.7% in the fourth quarter. Andina Capital Management LLC now owns 1,375 shares of the communications equipment provider’s stock worth $527,000 after purchasing an additional 62 shares in the last quarter. Hibernia Wealth Partners LLC purchased a new stake in shares of Motorola Solutions during the 4th quarter valued at approximately $438,000. Aviva PLC boosted its holdings in Motorola Solutions by 5.6% in the 4th quarter. Aviva PLC now owns 139,903 shares of the communications equipment provider’s stock worth $53,628,000 after buying an additional 7,401 shares during the period. Peterson Wealth Services grew its stake in Motorola Solutions by 270,200.0% in the 4th quarter. Peterson Wealth Services now owns 8,109 shares of the communications equipment provider’s stock valued at $3,109,000 after buying an additional 8,106 shares in the last quarter. Finally, Logan Capital Management Inc. raised its holdings in Motorola Solutions by 8.8% during the 4th quarter. Logan Capital Management Inc. now owns 7,525 shares of the communications equipment provider’s stock valued at $2,884,000 after acquiring an additional 609 shares during the period. 84.17% of the stock is currently owned by institutional investors.

Motorola Solutions Trading Up 10.9%

The firm has a 50-day simple moving average of $388.63 and a 200-day simple moving average of $420.88. The company has a quick ratio of 0.86, a current ratio of 1.03 and a debt-to-equity ratio of 3.59. The stock has a market cap of $77.80 billion, a PE ratio of 37.36, a P/E/G ratio of 3.14 and a beta of 1.00.

Motorola Solutions Company Profile

Motorola Solutions, Inc is a provider of mission-critical communications and analytics solutions for public safety and commercial customers. The company designs, manufactures and supports a range of communications equipment and software aimed at enabling first responders, government agencies and enterprises to coordinate and operate reliably in high-pressure environments. Its offerings emphasize secure, resilient connectivity and situational awareness for organizations that require dependable voice, data and video communications.

Product lines include land mobile radio (LMR) systems and handheld and vehicle-mounted radios used by police, fire and emergency medical services; broadband push-to-talk and LTE-based solutions; command-and-control center software for incident management and records; and video security and analytics systems.