Zacks: Brokerages Expect SYNNEX Co. (NYSE:SNX) Will Post Quarterly Sales of $5.23 Billion

Equities analysts expect SYNNEX Co. (NYSE:SNX) to announce $5.23 billion in sales for the current fiscal quarter, according to Zacks. Three analysts have issued estimates for SYNNEX’s earnings, with estimates ranging from $5.18 billion to $5.30 billion. SYNNEX posted sales of $6.46 billion in the same quarter last year, which would indicate a negative year over year growth rate of 19%. The firm is expected to report its next quarterly earnings results before the market opens on Tuesday, September 28th.

On average, analysts expect that SYNNEX will report full year sales of $21.65 billion for the current fiscal year, with estimates ranging from $21.42 billion to $21.82 billion. For the next year, analysts anticipate that the firm will report sales of $21.56 billion, with estimates ranging from $20.38 billion to $22.32 billion. Zacks’ sales averages are an average based on a survey of sell-side research firms that cover SYNNEX.

SYNNEX (NYSE:SNX) last released its quarterly earnings data on Wednesday, June 23rd. The business services provider reported $2.09 EPS for the quarter, beating the Zacks’ consensus estimate of $1.93 by $0.16. The company had revenue of $5.86 billion during the quarter, compared to the consensus estimate of $4.96 billion. SYNNEX had a net margin of 2.15% and a return on equity of 19.97%. SYNNEX’s quarterly revenue was up 31.0% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.26 EPS.

A number of analysts have commented on the stock. Raymond James increased their price objective on shares of SYNNEX from $125.00 to $140.00 and gave the company a “strong-buy” rating in a report on Friday, June 25th. Barrington Research raised their price target on shares of SYNNEX from $130.00 to $140.00 and gave the stock an “outperform” rating in a report on Monday, June 28th. Citigroup restated a “buy” rating and set a $155.00 price target (up previously from $120.00) on shares of SYNNEX in a report on Monday, May 24th. Finally, raised their price target on shares of SYNNEX from $120.00 to $155.00 and gave the stock a “buy” rating in a report on Monday, May 24th. Two research analysts have rated the stock with a hold rating, six have assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Buy” and an average price target of $131.00.

SNX stock traded down $3.77 during mid-day trading on Friday, reaching $115.29. The company’s stock had a trading volume of 611,141 shares, compared to its average volume of 292,210. The stock has a market cap of $5.99 billion, a PE ratio of 11.29, a P/E/G ratio of 1.40 and a beta of 1.72. The company has a current ratio of 1.70, a quick ratio of 1.07 and a debt-to-equity ratio of 0.66. SYNNEX has a fifty-two week low of $50.49 and a fifty-two week high of $130.93. The company’s 50 day moving average is $121.49 and its two-hundred day moving average is $119.49.

The business also recently disclosed a quarterly dividend, which was paid on Friday, July 30th. Investors of record on Friday, July 16th were given a dividend of $0.20 per share. The ex-dividend date of this dividend was Thursday, July 15th. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.69%. SYNNEX’s payout ratio is currently 5.85%.

In other SYNNEX news, insider Peter Larocque sold 3,062 shares of the firm’s stock in a transaction that occurred on Friday, July 2nd. The shares were sold at an average price of $120.95, for a total value of $370,348.90. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Kevin M. Murai sold 4,275 shares of the firm’s stock in a transaction that occurred on Thursday, July 15th. The shares were sold at an average price of $114.81, for a total transaction of $490,812.75. Following the completion of the transaction, the director now directly owns 8,859 shares of the company’s stock, valued at approximately $1,017,101.79. The disclosure for this sale can be found here. Insiders have sold a total of 21,172 shares of company stock valued at $2,572,712 in the last ninety days. 3.00% of the stock is currently owned by corporate insiders.

A number of hedge funds have recently modified their holdings of the business. Parametric Portfolio Associates LLC boosted its position in SYNNEX by 4.2% in the 2nd quarter. Parametric Portfolio Associates LLC now owns 100,356 shares of the business services provider’s stock valued at $12,219,000 after buying an additional 4,051 shares during the period. Morgan Stanley lifted its position in shares of SYNNEX by 125.3% during the 2nd quarter. Morgan Stanley now owns 145,561 shares of the business services provider’s stock worth $17,723,000 after purchasing an additional 80,957 shares during the last quarter. Thrivent Financial for Lutherans lifted its position in shares of SYNNEX by 35.4% during the 2nd quarter. Thrivent Financial for Lutherans now owns 51,916 shares of the business services provider’s stock worth $6,321,000 after purchasing an additional 13,568 shares during the last quarter. Colony Group LLC lifted its position in shares of SYNNEX by 3.9% during the 2nd quarter. Colony Group LLC now owns 4,981 shares of the business services provider’s stock worth $606,000 after purchasing an additional 188 shares during the last quarter. Finally, Occidental Asset Management LLC lifted its position in shares of SYNNEX by 3.9% during the 2nd quarter. Occidental Asset Management LLC now owns 5,842 shares of the business services provider’s stock worth $711,000 after purchasing an additional 221 shares during the last quarter. 76.09% of the stock is owned by institutional investors.

About SYNNEX

SYNNEX Corp. engages in the provision of distribution, logistics and integration services for the technology industry. It operates through the following segments: Technology Solutions and Concentrix. The Technology Solutions segment distributes peripherals, IT systems including data center server and storage solutions, system components, software, networking equipment, consumer electronics, and complementary products.

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