Recently, Logitech International SA (LOGI - Analyst Report) launched a bunch of new and advanced PC gaming devices. The new lineup is an extension of Logitech’s already existing G series products, and will have the letter “S” (standing for Science) with their names. The bunch consists of six revamped mice and keyboard and two new headsets.
The new series targeted for PC gamers is based on scientific theories and aims at making a difference with improved speed, precision and reliability. Logitech carried out extensive research with the infrared technology, to study the interaction between hand and device during game play. The company then came up with the upgraded G line products, featuring increased durability and comfort.
The products have fingerprint resistant coating for heavy contact zones in addition to hydrophobic coating to prevent hands from sticking. The mice come with better control and comfortable soft or dry grip depending on the model. They also have low-friction polytetrafluoroethylene (PTFE) feet, which smoothens cursor movements with improved accuracy by minimizing drag for faster movements.
During Logitech’s third quarter 2013 earnings release, its newly appointed CEO Bracken P. Darrell announced plans to focus on product innovation for the fast growing markets and removing unnecessary costs and commitments to improve profitability. Following this announcement, the company adopted a number of cost control measures which generated incremental savings of approximately $16 million–$18 million. Darrell is hopeful that these initiatives would result in improved operational efficiency and higher profitability along with speedier performance. In response to the news of the launch, Logitech shares moved up to $6.90 on Mar 20, 2013, compared with its previous day’s closing price of $6.78.
Currently, Logitech holds a short-term Zacks Rank #5 (Strong Sell). However, some other industry participants are performing better. These include Synaptics Inc. (SYNA - Snapshot Report) with a Zacks Rank # 1 (Strong Buy), and Analogic Corporation (ALOG - Snapshot Report) and Novatel Wireless Inc. (NVTL - Analyst Report) with a Zacks Rank #2 (Buy).