Arrow Electronics, Inc. (NYSE:ARW) Given Average Rating of "Moderate Buy" by Analysts

Key Points

• Arrow Electronics has a consensus analyst rating of “Moderate Buy” from six firms, with an average 12-month price target of $219.50. Recent calls were mixed but generally constructive, including upgrades and higher target prices from several brokers.
• The company posted better-than-expected Q1 results, reporting EPS of $5.22 versus estimates of $2.92 and revenue of $9.47 billion versus expectations of $8.39 billion. Revenue jumped 39% year over year, and Arrow also issued Q2 guidance of $4.32-$4.52 EPS.
• Arrow’s board authorized a $1 billion stock buyback, which could allow the company to repurchase up to 9.7% of its shares. The stock has also seen some insider selling, while institutional investors continue to hold the vast majority of shares.

Arrow Electronics, Inc. (NYSE:ARW - Get Free Report) has been given a consensus rating of "Moderate Buy" by the six ratings firms that are currently covering the stock, MarketBeat reports. One research analyst has rated the stock with a sell recommendation, one has given a hold recommendation, three have given a buy recommendation and one has issued a strong buy recommendation on the company. The average 12-month target price among brokers that have covered the stock in the last year is $219.50.

A number of analysts recently issued reports on the stock. Raymond James Financial restated an "outperform" rating and issued a $220.00 price target on shares of Arrow Electronics in a research note on Friday, May 8th. Truist Financial boosted their target price on shares of Arrow Electronics from $240.00 to $260.00 and gave the company a "buy" rating in a research note on Thursday, June 4th. Bank of America upgraded shares of Arrow Electronics from an "underperform" rating to a "neutral" rating and boosted their target price for the company from $122.00 to $233.00 in a research note on Wednesday, May 13th. Wells Fargo & Company boosted their target price on shares of Arrow Electronics from $140.00 to $165.00 and gave the company an "underweight" rating in a research note on Friday, May 8th. Finally, Weiss Ratings reiterated a "buy (b-)" rating on shares of Arrow Electronics in a research note on Tuesday, May 26th.

Insider Buying and Selling at Arrow Electronics

In other Arrow Electronics news, SVP Carine Lamercie Jean-Claude sold 3,000 shares of the business's stock in a transaction on Friday, May 22nd. The shares were sold at an average price of $216.00, for a total transaction of $648,000.00. Following the completion of the sale, the senior vice president owned 12,626 shares in the company, valued at $2,727,216. The trade was a 19.20% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Eric Nowak sold 3,473 shares of the business's stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $210.99, for a total transaction of $732,768.27. Following the sale, the insider owned 48,835 shares of the company's stock, valued at approximately $10,303,696.65. The trade was a 6.64% decrease in their position. The disclosure for this sale is available in the SEC filing. 0.80% of the stock is owned by insiders.

Institutional Trading of Arrow Electronics

Several institutional investors have recently added to or reduced their stakes in ARW. Parallel Advisors LLC boosted its holdings in shares of Arrow Electronics by 9.7% during the first quarter. Parallel Advisors LLC now owns 2,117 shares of the technology company's stock valued at $304,000 after acquiring an additional 188 shares during the period. Bank of America Corp DE boosted its holdings in shares of Arrow Electronics by 2.6% during the first quarter. Bank of America Corp DE now owns 1,015,730 shares of the technology company's stock valued at $145,666,000 after acquiring an additional 26,193 shares during the period. Bull Harbor Capital LLC acquired a new position in shares of Arrow Electronics during the first quarter valued at $472,000. Arkadios Wealth Advisors boosted its holdings in shares of Arrow Electronics by 7.3% during the first quarter. Arkadios Wealth Advisors now owns 2,453 shares of the technology company's stock valued at $352,000 after acquiring an additional 167 shares during the period. Finally, Amundi boosted its holdings in shares of Arrow Electronics by 83.3% during the first quarter. Amundi now owns 209,973 shares of the technology company's stock valued at $30,112,000 after acquiring an additional 95,419 shares during the period. Institutional investors own 99.34% of the company's stock.

Arrow Electronics Stock Down 1.6%

Shares of NYSE:ARW opened at $215.95 on Thursday. The company has a current ratio of 1.24, a quick ratio of 1.02 and a debt-to-equity ratio of 0.35. The company has a fifty day simple moving average of $191.74 and a 200 day simple moving average of $150.85. The firm has a market cap of $11.04 billion, a PE ratio of 15.45 and a beta of 1.19. Arrow Electronics has a 12-month low of $101.79 and a 12-month high of $233.30.

Arrow Electronics (NYSE:ARW - Get Free Report) last issued its quarterly earnings results on Thursday, May 7th. The technology company reported $5.22 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.92 by $2.30. The business had revenue of $9.47 billion during the quarter, compared to analyst estimates of $8.39 billion. Arrow Electronics had a net margin of 2.17% and a return on equity of 11.40%. The business's revenue was up 39.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.80 earnings per share. Arrow Electronics has set its Q2 2026 guidance at 4.32-4.520 EPS. On average, equities research analysts anticipate that Arrow Electronics will post 19.15 EPS for the current fiscal year.

Arrow Electronics announced that its board has authorized a stock repurchase plan on Wednesday, May 13th that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the technology company to reacquire up to 9.7% of its stock through open market purchases. Stock buyback plans are typically an indication that the company's board of directors believes its shares are undervalued.

About Arrow Electronics

Arrow Electronics NYSE: ARW is a global provider of products, services and solutions to industrial and commercial users of electronic components and enterprise computing solutions. The company offers a broad portfolio of semiconductors, passives, connectors, electromechanical devices and embedded solutions, serving customers across diverse end markets including automotive, communications, computing, aerospace, defense and healthcare. Through its extensive supplier relationships, Arrow enables design engineers to identify and procure components required for the development of new electronic systems and devices.

In addition to component distribution, Arrow delivers value-added services such as design engineering support, supply chain management, global logistics and technical training.

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