Logitech's Future is NOT Terminated: UBS Bets on Gaming Gen Alpha

No Fate But What We Make (and Buy): UBS's Bold Prediction

Alright listen up. UBS those guys who probably have more money than Skynet had processing power in 1984 just upgraded Logitech's stock. Said it's a 'buy.' Apparently they think Logitech is gonna make it. Me? I’m always suspicious of predictions especially those involving analysts. After all I was once told my unborn son was humanity's only hope. Turns out he mostly just complains about the Wi Fi. But hey maybe this time they're onto something.

7% Dip? Not This Time Says UBS.

The suits at UBS are saying Logitech's stock – which has been limping behind the S&P 500 this year (down 7%) – is about to explode like a Cyberdyne Systems lab. Their price target for the Swiss listed shares is 80 francs and around $96.50 for the U.S. listed stock. Honestly a 26% upside? Sounds almost too good to be true. That’s usually when the Terminators show up isn’t it? Still if it means people are too busy gaming to build killer robots I'm all for it. Although what's the battery life on those controllers? Asking for a friend.

Generation Alpha: The New Hope (For Logitech)

So what's UBS's secret weapon? Apparently it's Gen Alpha. These kids born between 2010 and 2024 are apparently glued to their screens gaming like there's no tomorrow. UBS says 94% of them play video games. More screen time than even I spent staring at the T 800’s endoskeleton! Apparently these rug rats are so enmeshed in the digital landscape that they are statistically more likely to buy products promoted by their favorite streamer. And who’s there to greet them on their way into digital life? Logitech. God help us all if Skynet starts sponsoring Twitch streamers. That's when we're REALLY screwed.

No More Made in China (For Logitech).

But it’s not just the digital natives that have UBS confident. Logitech is taking steps to reduce it's reliance on Chinese manufacturing. A smart move considering the whole 'future war against machines' thing. Less reliance on the tech coming from the nation that is more likely to produce robots means less of a chance the machines get the upper hand. I wonder if they use their own products in their manufacturing plants? Double edged sword but at least it's a sword.

Restructuring: The Key To Business?

Apparently Logitech had an internal reorganization to "better tackle the B2B business prospects." Now I don’t know what that even means but it sounds like something Skynet would say right before launching a surprise attack. Bottom line these guys are changing things up and someone in a suit somewhere thinks it's going to pay off. Me? I'll believe it when I see it and I’m watching. Always watching.

The Jury's Still Out: Analysts Are Divided

Despite UBS’s enthusiasm most analysts are playing it safe with Logitech. Six out of eight rate it as a 'hold.' Translation: they're as confused as I was trying to explain time travel to a cop in 1984. But hey even a broken clock is right twice a day. Maybe UBS is the one who sees the future and the rest are just waiting for the end of the world. Or you know just another earnings report. In the meantime Logitech’s U.S. listed shares climbed a percent in premarket after the UBS announcement. Guess someone’s got faith. Now if you’ll excuse me I have to go stock up on EMP grenades. Just in case. After all the future is not set. There is no fate but what we make for ourselves.