Motorola Solutions (MSI)
Information Technology · $75.6B market cap · SEC CIK 0000068505
fundamentals score out of 100
Next reports on Oct 28, 2026, with analysts expecting $4.46 in earnings per share.
The case for MSI
- Generated $2.6B of free cash flow in FY2025, 22% of revenue.
- Earns 86% on shareholder equity, a figure flattered by a small equity base.
- Revenue growing 10.3% year over year.
- Pays a modest 1.2% dividend.
The case against
- Pricey at 35.4× earnings, against a long-run market average nearer 20×.
- Priced at 26× book value. Very little hard asset backing here.
- Long-term debt of $8.4B against $1.2B of cash.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Information Technology companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 40 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 43 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 65 |
| Momentumhow the price has behaved lately | 65 |
| Stabilityhow violently it moves, what it owes and what it pays you | 78 |
- Each factor except momentum is half fixed thresholds, half rank among the 73 Information Technology companies.
Key numbers
| Price / earnings | 35.4× |
|---|---|
| Price / book | 26.27× |
| Price / sales | 6.2× |
| Revenue growth (YoY) | +10.3% |
| EPS growth (YoY) | +2.1% |
| Gross margin | 52% |
| Operating margin | 25% |
| Net margin | 17% |
| Return on equity | 86% |
| Debt / equity | 3.38× |
| Current ratio | 1.10 |
| Dividend yield | 1.22% |
| Beta | 0.88 |
| 52-week range | $359.36 – $494.85 |
| Position in that range | 72% of the way up |
| 3-month return | +16.7% |
| 1-year return | -3.1% |
Five years of financials, as filed
Pulled from Motorola Solutions's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $11.7B | $10.8B | $10.0B | $9.1B | $8.2B |
| Gross profit | $6.0B | $5.5B | $5.0B | $4.2B | $4.0B |
| Operating income | $3.0B | $2.7B | $2.3B | $1.7B | $1.7B |
| Net income | $2.2B | $1.6B | $1.7B | $1.4B | $1.2B |
| Operating cash flow | $2.8B | $2.4B | $2.0B | $1.8B | $1.8B |
| Capital expenditure | $265M | $257M | $253M | $256M | $243M |
| Total assets | $19.4B | $14.6B | $13.3B | $12.8B | $12.2B |
| Shareholder equity | $2.4B | $1.7B | $724M | $116M | -$40.0M |
| Cash | $1.2B | $2.1B | $1.7B | $1.3B | $1.9B |
| Long-term debt | $8.4B | $5.7B | $4.7B | $6.0B | $5.7B |
| Free cash flow | $2.6B | $2.1B | $1.8B | $1.6B | $1.6B |
| Gross margin | 51.7% | 51.0% | 49.8% | 46.4% | 49.4% |
| Operating margin | 25.6% | 24.8% | 23.0% | 18.2% | 20.4% |
| Net margin | 18.4% | 14.6% | 17.1% | 15.0% | 15.2% |
| Diluted shares | 169M | 171M | 172M | 172M | 174M |
Share count is essentially flat over 4 years.
What Motorola Solutions says it does
Overview | Solving for safer Motorola Solutions is a global leader in mission-critical safety and security technologies for public safety, government, including defense, and enterprise customers. Our business is focused on safety and security, driven by our commitment to help create safer communities, safer schools, safer hospitals, safer businesses, and ultimately, safer nations. Grounded in nearly 100 years of close customer and community collaboration, we design and advance technology for more than 100,000 customers in over 100 countries with the goal of making everywhere safer for all. Our ecosystem of safety and security technologies includes Mission Critical Networks ("MCN"), Video Security and Access Control ("Video") and Command Center. Our strategy is to generate value through our technologies that help meet the changing needs of our customers around the world in protecting people, property and places. While each technology…
Risk factors MSI lists in its 10-K
- Material Cash Requirements from Contractual and Other Obligations
- Potential Contractual Damage Claims in Excess of Underlying Contract Value
- Long-term Customer Financing Commitments
- Valuation and Recoverability of Goodwill
- Valuation of Acquired Intangible Assets
- Recent Accounting Pronouncements and Recently Adopted Accounting Pronouncements
- Opinions on the Financial Statements and Internal Control over Financial Reporting
- Internal Control - Integrated Framework (2013)
- Definition and Limitations of Internal Control over Financial Reporting
- Revenue Recognition - Estimated Costs to Complete for Certain System Contracts
- Acquisition of Silvus - Valuation of Certain Customer Relationships and Certain Developed Technology
- Consolidated Statements of Operations
- (In millions, except per share amounts)
- Weighted average common shares outstanding