Avnet, Inc. $AVT Stake Lessened by Alps Advisors Inc.

Key Points

• Alps Advisors cut its Avnet stake by 11.5% in the third quarter, selling 22,231 shares and ending the period with 171,772 shares worth about $17.2 million. Institutional investors collectively held 95.78% of the company.
• Avnet reported quarterly earnings of $3.63 per share, beating estimates of $2.86, while revenue of $10.72 billion exceeded forecasts and rose 81.7% year over year.
• Analyst views were mixed: Truist raised its price target to $125 and maintained a Buy rating, while Wells Fargo raised its target to $85 but retained an Underweight rating. A shareholder revolt is also challenging two directors over Avnet’s $550 million debt deal.

Alps Advisors Inc. lessened its stake in shares of Avnet, Inc. (NASDAQ:AVT - Free Report) by 11.5% during the third quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 171,772 shares of the company's stock after selling 22,231 shares during the quarter. Alps Advisors Inc. owned about 0.21% of Avnet worth $17,169,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Commonwealth Equity Services LLC boosted its stake in Avnet by 14.0% during the 3rd quarter. Commonwealth Equity Services LLC now owns 2,816 shares of the company's stock valued at $281,000 after purchasing an additional 345 shares in the last quarter. Chicago Partners Investment Group LLC increased its position in shares of Avnet by 19.4% during the 3rd quarter. Chicago Partners Investment Group LLC now owns 7,653 shares of the company's stock valued at $674,000 after purchasing an additional 1,244 shares during the period. Covestor Ltd raised its stake in shares of Avnet by 313.5% in the 3rd quarter. Covestor Ltd now owns 5,467 shares of the company's stock worth $547,000 after buying an additional 4,145 shares in the last quarter. Provenance Wealth Advisors LLC bought a new stake in shares of Avnet in the 3rd quarter worth $40,000. Finally, IPG Investment Advisors LLC bought a new stake in shares of Avnet in the 3rd quarter worth $256,000. Institutional investors own 95.78% of the company's stock.

Avnet News Roundup

Here are the key news stories impacting Avnet this week:

• Positive Sentiment: Avnet’s fiscal Q1 results reportedly beat expectations, with record sales, broad-based component demand and margin gains. Higher memory pricing and upbeat Q2 guidance also point to continued near-term momentum, though tighter supply and increased working-capital needs are considerations. Article: Avnet Q1 Earnings Beat Estimates on Record Sales & Strong Demand
• Positive Sentiment: Truist raised its price target to $125 from $110 and maintained a Buy rating, signaling confidence in Avnet’s potential. Article: Truist Financial price-target update
• Neutral Sentiment: Wells Fargo raised its target to $85 from $80 but kept an Underweight rating, reflecting a more cautious view despite the higher target. Article: Avnet Given New $85 Price Target at Wells Fargo
• Negative Sentiment: A shareholder revolt is targeting two directors after Avnet’s $550 million debt deal. The challenge could raise concerns about governance and the company’s financing decisions. Article: Avnet Shareholder Revolt Targets Two Directors After $550 Million Debt Deal

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on AVT. Truist Financial upped their price objective on Avnet from $110.00 to $125.00 and gave the company a "buy" rating in a report on Thursday. Wall Street Zen raised shares of Avnet from a "buy" rating to a "strong-buy" rating in a report on Saturday, October 17th. Wells Fargo & Company raised their price objective on shares of Avnet from $80.00 to $85.00 and gave the company an "underweight" rating in a research report on Thursday. Zacks Research lowered shares of Avnet from a "strong-buy" rating to a "hold" rating in a research report on Monday, October 19th. Finally, Weiss Ratings raised shares of Avnet from a "buy (b-)" rating to a "buy (b)" rating in a research note on Friday, October 9th. One investment analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $100.25.

Insider Transactions at Avnet

In other Avnet news, CEO Philip R. Gallagher sold 51,900 shares of the business's stock in a transaction dated Wednesday, August 12th. The stock was sold at an average price of $98.46, for a total transaction of $5,110,074.00. Following the sale, the chief executive officer owned 168,923 shares in the company, valued at approximately $16,632,158.58. The trade was a 23.50% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, SVP Michael Ryan Mccoy sold 32,052 shares of the business's stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $91.10, for a total value of $2,919,937.20. Following the sale, the senior vice president owned 76,674 shares in the company, valued at approximately $6,985,001.40. The trade was a 29.48% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 2.00% of the company's stock.

Avnet Stock Performance

Shares of NASDAQ AVT opened at $79.28 on Friday. The company has a quick ratio of 0.97, a current ratio of 1.73 and a debt-to-equity ratio of 0.63. The stock has a market capitalization of $6.52 billion, a price-to-earnings ratio of 11.90, a PEG ratio of 0.24 and a beta of 1.11. The stock's fifty day simple moving average is $94.24 and its 200 day simple moving average is $81.57. Avnet, Inc. has a 52-week low of $44.25 and a 52-week high of $108.63.

Avnet (NASDAQ:AVT - Get Free Report) last announced its earnings results on Wednesday, November 4th. The company reported $3.63 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.86 by $0.77. Avnet had a return on equity of 14.15% and a net margin of 1.74%. The company had revenue of $10.72 billion for the quarter, compared to analyst estimates of $9.22 billion. During the same period in the previous year, the firm earned $0.84 earnings per share. Avnet's revenue for the quarter was up 81.7% compared to the same quarter last year. As a group, sell-side analysts forecast that Avnet, Inc. will post 11.55 earnings per share for the current fiscal year.

Avnet Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 23rd. Investors of record on Wednesday, September 9th were paid a $0.37 dividend. The ex-dividend date of this dividend was Wednesday, September 9th. This represents a $1.48 dividend on an annualized basis and a yield of 1.9%. This is an increase from Avnet's previous quarterly dividend of $0.35. Avnet's dividend payout ratio (DPR) is 22.22%.

About Avnet

Avnet, Inc is a global technology distributor that helps manufacturers and design engineers source electronic components and develop products. The company supplies semiconductors, embedded processors, memory, connectivity products, sensors, power-management components and other electronic parts used in industrial, automotive, communications, computing, aerospace and defense applications.

In addition to component distribution, Avnet provides engineering and design services, supply-chain management, product customization, logistics, and technical support.

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