Arrow Electronics (NYSE:ARW) Shares Down 8.7% - Here's What Happened

Key Points

• Arrow Electronics shares dropped 8.7% to around $118.54, with trading volume declining by 45% compared to the average session.
• Despite the stock's current struggles, analysts have mixed ratings, including upgrades to a "buy" from Wall Street Zen, while others maintain a "hold" or "underperform" stance.
• Insider transactions revealed significant stock sales by company executives, with a total of 9,070 shares sold over the past three months.

Arrow Electronics, Inc. (NYSE:ARW - Get Free Report)'s share price fell 8.7% during trading on Thursday . The stock traded as low as $120.60 and last traded at $118.54. 300,194 shares were traded during mid-day trading, a decline of 45% from the average session volume of 543,022 shares. The stock had previously closed at $129.78.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on ARW shares. Wall Street Zen upgraded Arrow Electronics from a "hold" rating to a "buy" rating in a research note on Saturday, July 26th. Bank of America lifted their target price on Arrow Electronics from $105.00 to $110.00 and gave the company an "underperform" rating in a research note on Monday, June 9th. Two analysts have rated the stock with a sell rating, one has issued a hold rating and two have given a buy rating to the stock. According to MarketBeat, the stock presently has an average rating of "Hold" and a consensus price target of $115.75.

Arrow Electronics Price Performance

The business has a 50-day moving average price of $125.94 and a 200 day moving average price of $115.11. The company has a market cap of $6.03 billion, a price-to-earnings ratio of 16.06, a P/E/G ratio of 0.65 and a beta of 1.10. The company has a current ratio of 1.43, a quick ratio of 1.05 and a debt-to-equity ratio of 0.39.

Arrow Electronics (NYSE:ARW - Get Free Report) last released its earnings results on Thursday, July 31st. The technology company reported $2.43 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.03 by $0.40. Arrow Electronics had a return on equity of 8.97% and a net margin of 1.40%. Arrow Electronics's quarterly revenue was up 10.0% compared to the same quarter last year. During the same period last year, the company earned $2.78 earnings per share. As a group, research analysts expect that Arrow Electronics, Inc. will post 10.57 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Eric Nowak sold 4,952 shares of the firm's stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $122.39, for a total value of $606,075.28. Following the completion of the sale, the insider owned 43,895 shares of the company's stock, valued at $5,372,309.05. This trade represents a 10.14% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, SVP Carine Lamercie Jean-Claude sold 2,660 shares of the business's stock in a transaction dated Wednesday, June 11th. The stock was sold at an average price of $124.64, for a total transaction of $331,542.40. Following the sale, the senior vice president directly owned 17,057 shares in the company, valued at $2,125,984.48. This trade represents a 13.49% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 9,070 shares of company stock valued at $1,116,062 over the last three months. 1.00% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Arrow Electronics

Large investors have recently modified their holdings of the company. Wealth Enhancement Advisory Services LLC raised its position in shares of Arrow Electronics by 33.6% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 11,864 shares of the technology company's stock valued at $1,232,000 after purchasing an additional 2,982 shares during the period. Golden State Wealth Management LLC boosted its stake in shares of Arrow Electronics by 111.7% in the 1st quarter. Golden State Wealth Management LLC now owns 379 shares of the technology company's stock valued at $39,000 after purchasing an additional 200 shares in the last quarter. SG Americas Securities LLC bought a new stake in Arrow Electronics during the 1st quarter valued at $356,000. GAMMA Investing LLC raised its holdings in Arrow Electronics by 201.3% in the 1st quarter. GAMMA Investing LLC now owns 2,597 shares of the technology company's stock worth $270,000 after purchasing an additional 1,735 shares in the last quarter. Finally, Edgestream Partners L.P. raised its holdings in Arrow Electronics by 99.5% in the 1st quarter. Edgestream Partners L.P. now owns 115,474 shares of the technology company's stock worth $11,990,000 after purchasing an additional 57,590 shares in the last quarter. 99.34% of the stock is currently owned by institutional investors and hedge funds.

Arrow Electronics Company Profile

Arrow Electronics, Inc provides products, services, and solutions to industrial and commercial users of electronic components and enterprise computing solutions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company operates in two segments, Global Components and Global Enterprise Computing Solutions.

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