Zacks Investment Research Lowers Arrow Electronics (ARW) to Hold
Zacks Investment Research downgraded shares of Arrow Electronics (NYSE:ARW) from a buy rating to a hold rating in a report issued on Tuesday.
According to Zacks, “Estimates for Electronic component distributor, Arrow Electronics have not moved around much of late. Original equipment manufacturers, contract manufacturers and commercial customers are selecting Arrow’s strong distribution channels for marketing their products, which is driving its revenues. We believe that the company’s core strength in providing best-in-class services and easy-to-acquire technologies should drive growth in the long run. Moreover, the company has secured a significant market share through a broad portfolio of products and services, and continued efforts to maximize consumer satisfaction. Additionally, incremental sales from strategic acquisitions and partnerships are expected to boost the top line. The stock has outperformed the industry in the last one year. However, an uncertain economic environment, high debt burden and competition remain the concerns.”
Separately, Stifel Nicolaus reiterated a buy rating and issued a $86.00 target price on shares of Arrow Electronics in a research note on Tuesday, September 12th.
Shares of Arrow Electronics (NYSE ARW) opened at $82.75 on Tuesday. Arrow Electronics has a 52 week low of $68.55 and a 52 week high of $84.53. The company has a quick ratio of 1.13, a current ratio of 1.58 and a debt-to-equity ratio of 0.57. The stock has a market cap of $7,192.67, a P/E ratio of 14.57, a price-to-earnings-growth ratio of 0.87 and a beta of 1.18.
Arrow Electronics (NYSE:ARW) last posted its earnings results on Thursday, November 2nd. The technology company reported $1.82 earnings per share (EPS) for the quarter, hitting the Thomson Reuters’ consensus estimate of $1.82. Arrow Electronics had a net margin of 2.00% and a return on equity of 13.63%. The business had revenue of $6.95 billion for the quarter, compared to analysts’ expectations of $6.58 billion. During the same period in the prior year, the company posted $1.56 EPS. The business’s revenue for the quarter was up 17.1% compared to the same quarter last year. equities analysts anticipate that Arrow Electronics will post 7.35 earnings per share for the current fiscal year.
In other Arrow Electronics news, Director Gail Hamilton sold 4,800 shares of the stock in a transaction that occurred on Wednesday, November 8th. The shares were sold at an average price of $78.33, for a total value of $375,984.00. Following the sale, the director now directly owns 91 shares in the company, valued at approximately $7,128.03. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Sean J. Kerins sold 3,816 shares of the stock in a transaction that occurred on Tuesday, November 21st. The stock was sold at an average price of $78.87, for a total transaction of $300,967.92. Following the completion of the sale, the insider now owns 25,552 shares in the company, valued at $2,015,286.24. The disclosure for this sale can be found here. Insiders sold a total of 10,032 shares of company stock worth $788,816 over the last quarter. Corporate insiders own 1.20% of the company’s stock.
Several large investors have recently modified their holdings of the company. Vanguard Group Inc. increased its holdings in shares of Arrow Electronics by 2.2% in the 2nd quarter. Vanguard Group Inc. now owns 7,643,715 shares of the technology company’s stock worth $599,421,000 after buying an additional 164,059 shares during the last quarter. Boston Partners increased its holdings in shares of Arrow Electronics by 0.7% in the 3rd quarter. Boston Partners now owns 5,921,683 shares of the technology company’s stock worth $476,163,000 after buying an additional 41,711 shares during the last quarter. Dimensional Fund Advisors LP increased its holdings in shares of Arrow Electronics by 0.5% in the 2nd quarter. Dimensional Fund Advisors LP now owns 3,423,521 shares of the technology company’s stock worth $268,476,000 after buying an additional 18,653 shares during the last quarter. Longview Partners Guernsey LTD increased its holdings in shares of Arrow Electronics by 5.1% in the 3rd quarter. Longview Partners Guernsey LTD now owns 2,936,104 shares of the technology company’s stock worth $236,092,000 after buying an additional 143,540 shares during the last quarter. Finally, LSV Asset Management increased its holdings in shares of Arrow Electronics by 13.1% in the 2nd quarter. LSV Asset Management now owns 2,142,395 shares of the technology company’s stock worth $168,006,000 after buying an additional 248,373 shares during the last quarter. 92.67% of the stock is currently owned by hedge funds and other institutional investors.
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About Arrow Electronics
Arrow Electronics, Inc is a provider of products, services and solutions to industrial and commercial users of electronic components and enterprise computing solutions. The Company has a portfolio of product offerings available from various electronic components and enterprise computing solutions suppliers.
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