Arrow Electronics, Inc. (NYSE:ARW) Receives Average Recommendation of "Moderate Buy" from Brokerages

Key Points

• Analysts are constructive on Arrow Electronics, with the stock receiving an average rating of “Moderate Buy” from six analysts and a 12-month price target of $214.50. Recent updates included multiple upgrades, though Wells Fargo kept an “underweight” rating while raising its target to $165.
• Arrow reported strong quarterly results, posting EPS of $5.22 versus the $2.92 consensus estimate and revenue of $9.47 billion versus $8.39 billion expected. Revenue rose 39% year over year, and the company guided Q2 2026 EPS to $4.32-$4.52.
• The board approved a $1 billion share buyback plan on May 13, allowing repurchases of up to 9.7% of outstanding shares. The move suggests management sees the stock as undervalued, following a period of notable insider and institutional activity.

Arrow Electronics, Inc. (NYSE:ARW - Get Free Report) has earned an average rating of "Moderate Buy" from the six analysts that are presently covering the firm, Marketbeat reports. One equities research analyst has rated the stock with a sell recommendation, one has given a hold recommendation, three have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12 month price target among analysts that have covered the stock in the last year is $214.50.

Several equities analysts recently issued reports on ARW shares. Weiss Ratings upgraded shares of Arrow Electronics from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Thursday, February 26th. Wall Street Zen upgraded shares of Arrow Electronics from a "hold" rating to a "buy" rating in a research report on Saturday, February 7th. Bank of America upgraded shares of Arrow Electronics from an "underperform" rating to a "neutral" rating and boosted their price target for the company from $122.00 to $233.00 in a research report on Wednesday. Zacks Research upgraded shares of Arrow Electronics from a "hold" rating to a "strong-buy" rating in a research report on Monday, February 9th. Finally, Wells Fargo & Company boosted their price target on shares of Arrow Electronics from $140.00 to $165.00 and gave the company an "underweight" rating in a research report on Friday, May 8th.

Insider Buying and Selling

In related news, CEO William F. Austen acquired 3,960 shares of the stock in a transaction that occurred on Thursday, February 19th. The shares were bought at an average price of $151.87 per share, for a total transaction of $601,405.20. Following the completion of the transaction, the chief executive officer directly owned 44,722 shares in the company, valued at approximately $6,791,930.14. This trade represents a 9.71% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Richard John Marano sold 2,500 shares of the stock in a transaction that occurred on Tuesday, February 17th. The stock was sold at an average price of $155.32, for a total transaction of $388,300.00. Following the completion of the transaction, the insider owned 24,096 shares in the company, valued at $3,742,590.72. The trade was a 9.40% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 0.80% of the company's stock.

Hedge Funds Weigh In On Arrow Electronics

Institutional investors have recently bought and sold shares of the stock. ACR Alpine Capital Research LLC grew its stake in shares of Arrow Electronics by 42.6% in the 4th quarter. ACR Alpine Capital Research LLC now owns 3,445,593 shares of the technology company's stock worth $379,635,000 after buying an additional 1,028,778 shares in the last quarter. AQR Capital Management LLC grew its stake in shares of Arrow Electronics by 37.7% in the 3rd quarter. AQR Capital Management LLC now owns 3,185,582 shares of the technology company's stock worth $384,818,000 after buying an additional 871,585 shares in the last quarter. Brandes Investment Partners LP grew its stake in shares of Arrow Electronics by 1,412.3% in the 4th quarter. Brandes Investment Partners LP now owns 409,461 shares of the technology company's stock worth $45,115,000 after buying an additional 382,385 shares in the last quarter. FIL Ltd grew its stake in shares of Arrow Electronics by 33.8% in the 4th quarter. FIL Ltd now owns 1,231,833 shares of the technology company's stock worth $135,723,000 after buying an additional 310,936 shares in the last quarter. Finally, Envestnet Asset Management Inc. grew its stake in shares of Arrow Electronics by 197.2% in the 3rd quarter. Envestnet Asset Management Inc. now owns 458,036 shares of the technology company's stock worth $55,422,000 after buying an additional 303,942 shares in the last quarter. 99.34% of the stock is owned by hedge funds and other institutional investors.

Arrow Electronics Stock Performance

Shares of NYSE:ARW opened at $208.29 on Friday. The company has a market cap of $10.65 billion, a price-to-earnings ratio of 14.90, a price-to-earnings-growth ratio of 0.76 and a beta of 1.16. The company has a 50-day moving average price of $164.00 and a 200-day moving average price of $137.10. The company has a current ratio of 1.24, a quick ratio of 1.02 and a debt-to-equity ratio of 0.35. Arrow Electronics has a 12 month low of $101.79 and a 12 month high of $215.68.

Arrow Electronics (NYSE:ARW - Get Free Report) last issued its quarterly earnings data on Thursday, May 7th. The technology company reported $5.22 EPS for the quarter, beating the consensus estimate of $2.92 by $2.30. The firm had revenue of $9.47 billion during the quarter, compared to the consensus estimate of $8.39 billion. Arrow Electronics had a net margin of 2.17% and a return on equity of 11.40%. The company's quarterly revenue was up 39.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.80 earnings per share. Arrow Electronics has set its Q2 2026 guidance at 4.32-4.520 EPS. As a group, equities analysts anticipate that Arrow Electronics will post 17.97 EPS for the current year.

Arrow Electronics announced that its board has approved a share buyback plan on Wednesday, May 13th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits 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 leadership believes its stock is undervalued.

Arrow Electronics Company Profile

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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