BlackRock Inc. Takes $200.14 Million Position in ScanSource, Inc. $SCSC

Key Points

• BlackRock purchased 3.84 million ScanSource shares worth approximately $200.1 million, giving it an estimated 18.9% stake. Institutional investors collectively own 97.91% of the company.
• ScanSource reported quarterly earnings of $1.46 per share, beating estimates by $0.32, while revenue rose 17.3% year over year to $953.1 million.
• The stock opened at $58.10 after rising 3.4%, while analyst sentiment remained a “Moderate Buy”; however, the average price target of $43.00 was below the prevailing share price.

BlackRock Inc. purchased a new position in shares of ScanSource, Inc. (NASDAQ:SCSC - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund purchased 3,842,195 shares of the industrial products company's stock, valued at approximately $200,140,000. BlackRock Inc. owned approximately 18.90% of ScanSource as of its most recent filing with the SEC.

Several other institutional investors and hedge funds have also modified their holdings of SCSC. Deutsche Bank AG acquired a new position in ScanSource during the second quarter worth about $1,181,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of ScanSource during the 2nd quarter valued at approximately $134,000. Bank of New York Mellon Corp acquired a new position in ScanSource during the 2nd quarter worth approximately $7,036,000. State of Wyoming acquired a new position in ScanSource during the 2nd quarter worth approximately $522,000. Finally, Summit Global Investments bought a new position in ScanSource in the 2nd quarter valued at approximately $738,000. 97.91% of the stock is currently owned by institutional investors.

ScanSource Stock Up 3.4%

Shares of NASDAQ SCSC opened at $58.10 on Friday. The firm has a market cap of $1.17 billion, a PE ratio of 15.87, a P/E/G ratio of 0.82 and a beta of 1.28. ScanSource, Inc. has a 12-month low of $33.76 and a 12-month high of $66.78. The company's fifty day simple moving average is $53.69 and its 200 day simple moving average is $44.99. The company has a quick ratio of 1.15, a current ratio of 1.76 and a debt-to-equity ratio of 0.11.

ScanSource (NASDAQ:SCSC - Get Free Report) last posted its quarterly earnings results on Thursday, August 20th. The industrial products company reported $1.46 earnings per share for the quarter, beating the consensus estimate of $1.14 by $0.32. ScanSource had a net margin of 2.44% and a return on equity of 10.10%. The firm had revenue of $953.11 million during the quarter, compared to the consensus estimate of $814.35 million. During the same period in the previous year, the firm posted $1.02 earnings per share. The business's revenue was up 17.3% compared to the same quarter last year. As a group, sell-side analysts forecast that ScanSource, Inc. will post 4.56 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

SCSC has been the subject of a number of recent research reports. Zacks Research raised ScanSource from a "hold" rating to a "strong-buy" rating in a report on Monday. Weiss Ratings upgraded ScanSource from a "hold (c)" rating to a "hold (c+)" rating in a report on Friday, May 29th. Northcoast Research lowered shares of ScanSource from a "buy" rating to a "neutral" rating in a report on Monday, August 17th. Finally, Wall Street Zen raised shares of ScanSource from a "hold" rating to a "buy" rating in a report on Saturday, August 8th. One research analyst has rated the stock with a Strong Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, ScanSource presently has an average rating of "Moderate Buy" and an average target price of $43.00.

About ScanSource

ScanSource, Inc is a global provider of technology products and solutions designed to help businesses enhance operational efficiency and customer engagement. The company specializes in the distribution of point-of-sale (POS) systems, barcode and data capture devices, networking and communications equipment, and value-added software and cloud services. By combining hardware, software and professional services, ScanSource supports channel partners in delivering end-to-end solutions across multiple industries, including retail, hospitality, healthcare and logistics.

Founded in 1992 and headquartered in Greenville, South Carolina, ScanSource has built a broad international footprint, serving customers throughout North, Central and South America as well as Europe, the Middle East and Africa.

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