Despite the current economic uncertainties, one industry that continues to expand at a rapid pace is the wireless device marketplace, especially in the ‘smartphone’ sector. Consumers are purchasing these phones at a rate never before seen in wireless telecommunications history, and are looking for products to protect their technological investment. ZAGG Inc. (OTC BB: ZAGG) designs, manufactures, and distributes protective coverings for consumer electronic and hand-held devices under the brand name invisibleSHIELD. The invisibleSHIELD is a protective, high-tech film covering, designed specifically for iPhones, laptops, cell phones, digital cameras, PDAs, watch faces, GPS systems, gaming devices, and other items. The patent-pending invisibleSHIELD is the first scratch protection solution of its kind on the market. This market is rapidly expanding with worldwide smartphone sales totaling 32.2 million units in the second quarter of 2008, a 15.7 per cent increase from the second quarter of 2007, according to Gartner, Inc.
Financial Success
ZAGG has grown rapidly and shown strong financial results. Net sales for the second quarter of 2008 were $2,739,176, an increase of 240.5% compared to net sales of $804,458 for the second quarter of 2007. Net sales for the six months ended June 30, 2008 were $5,584,597, an increase of 249.6% compared to net sales of $1,597,306 for the six months ended June 30, 2007. This is a fast-growing company that is simultaneously building significant revenues. RedChip’s target price for the stock is $2.25 per share; with ZAGG currently trading at $0.78, right now is a key time to invest in the company at an undervalued price.
About the Product
ZAGG’s invisibleSHIELD is the leader in the device protection market due to an exceptionally clear and virtually indestructible film that will protect devices from scratches and further damage. The exclusive, patented film – with nano-memory technology – covers and shields devices better than any other product on the market.
The precision pre-cut invisibleSHIELD applies directly to the device, providing durable protection. The invisibleSHIELD has its origins in the military, where it was used to protect high-speed helicopter blades from dust, dirt and debris. ZAGG has brought this advanced technology to the consumer marketplace. The invisibleSHIELD is only .2 millimeters thick making it the slimmest protective cover of its kind.