Are Tablet Accessory Companies a Good Investment? – Zagg Inc (ZAGG), Apple Inc (AAPL), Nokia Corporation (ADR) (NOK)

ZAGG diversified its product offerings last year with the acquisition of iFrogz, which helps it compete with Skullcandy Inc. (NASDAQ:SKUL) with headsets, earbuds, and mobile device cases. Skullcandy net sales in the fourth quarter increased 21% to $101 million, up from $83.4 million in the same quarter of the prior year. North America net sales in the fourth quarter increased 12%, and international net sales in the fourth quarter increased 90%. Gross profit in the fourth quarter of 2012 increased almost 9% to $45 million from $42 million in the same quarter of the prior year. Gross margin was 45% in the fourth quarter of 2012 compared to 50% in the same quarter of the prior year.

ZAGG is not a guaranteed win or perfect stock. Things do look promising for the company as its primary markets continue to grow, and for the time being, numbers keep going up.

The article Are Tablet Accessory Companies a Good Investment? originally appeared on Fool.com and is written by Erin McBride.

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