PC Connection (NASDAQ:CNXN) Hits New 1-Year High – Still a Buy?

PC Connection, Inc. (NASDAQ:CNXN) reached a new 52-week high during trading on Tuesday . The stock traded as high as $80.64 and last traded at $79.78, with a volume of 136907 shares. The stock had previously closed at $78.97.

Analyst Ratings Changes

CNXN has been the subject of several recent analyst reports. Wall Street Zen raised shares of PC Connection from a “hold” rating to a “buy” rating in a research report on Saturday, May 2nd. Weiss Ratings raised PC Connection from a “hold (c+)” rating to a “buy (b-)” rating in a report on Wednesday, June 3rd. One equities research analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy”.

PC Connection Trading Down 0.4%

The stock has a market cap of $2.04 billion, a PE ratio of 23.51, a P/E/G ratio of 2.07 and a beta of 0.88. The business has a 50 day moving average of $71.79 and a 200-day moving average of $64.79.

PC Connection (NASDAQ:CNXN) last issued its quarterly earnings data on Wednesday, April 29th. The company reported $0.77 earnings per share for the quarter, beating analysts’ consensus estimates of $0.62 by $0.15. The company had revenue of $721.87 million during the quarter, compared to analysts’ expectations of $696.09 million. PC Connection had a return on equity of 10.17% and a net margin of 3.02%. Research analysts expect that PC Connection, Inc. will post 3.93 EPS for the current fiscal year.

PC Connection Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, May 29th. Investors of record on Tuesday, May 12th were given a $0.20 dividend. The ex-dividend date was Tuesday, May 12th. This represents a $0.80 annualized dividend and a yield of 1.0%. PC Connection’s dividend payout ratio is 23.26%.

Insiders Place Their Bets

In related news, Chairman Patricia Gallup sold 7,142 shares of the stock in a transaction on Monday, July 6th. The shares were sold at an average price of $72.86, for a total transaction of $520,366.12. Following the completion of the sale, the chairman owned 7,006,321 shares in the company, valued at $510,480,548.06. This represents a 0.10% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. In the last ninety days, insiders have sold 28,592 shares of company stock worth $2,048,512. 56.60% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On PC Connection

Several hedge funds have recently made changes to their positions in the business. EverSource Wealth Advisors LLC increased its position in PC Connection by 625.0% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 580 shares of the company’s stock valued at $38,000 after acquiring an additional 500 shares during the period. PNC Financial Services Group Inc. lifted its position in PC Connection by 196.7% during the 3rd quarter. PNC Financial Services Group Inc. now owns 629 shares of the company’s stock worth $39,000 after acquiring an additional 417 shares during the period. Parallel Advisors LLC lifted its position in PC Connection by 200.4% during the 1st quarter. Parallel Advisors LLC now owns 709 shares of the company’s stock worth $41,000 after acquiring an additional 473 shares during the period. Meeder Asset Management Inc. purchased a new position in shares of PC Connection in the 1st quarter valued at approximately $44,000. Finally, Quarry LP purchased a new position in shares of PC Connection in the 3rd quarter valued at approximately $75,000. Institutional investors and hedge funds own 42.85% of the company’s stock.

About PC Connection

PC Connection, Inc (NASDAQ: CNXN), now operating under the trade name Connection, is a value-added provider of information technology solutions founded in 1982 and headquartered in Merrimack, New Hampshire. The company offers a broad portfolio of hardware and software products sourced from leading technology vendors, alongside professional services designed to help organizations design, deploy and maintain IT environments.

Connection’s product offerings encompass desktop and notebook computers, servers and storage systems, networking and cybersecurity solutions, as well as cloud and virtualization technologies.