Ingram Micro (NYSE:INGM) Shares Gap Down - Should You Sell?

Key Points

• Ingram Micro shares fell 7.1%, opening at $26.74 after previously closing at $28.38. The stock’s consensus analyst rating is “Hold,” with an average price target of $30.88.
• The company reported stronger-than-expected quarterly results, with EPS of $0.82 versus $0.74 expected and revenue of $14.53 billion versus a $13.85 billion consensus estimate. It guided for third-quarter EPS of $0.72–$0.82.
• Ingram Micro raised its quarterly dividend to $0.086 per share, equivalent to a 1.3% annual yield, while major shareholder Platinum Equity and a company vice president sold shares totaling more than $151 million over the past 90 days.

Ingram Micro Holding Corporation (NYSE:INGM - Get Free Report) gapped down prior to trading on Wednesday . The stock had previously closed at $28.38, but opened at $26.74. Ingram Micro shares last traded at $26.6260, with a volume of 1,828,097 shares.

Analyst Upgrades and Downgrades

INGM has been the subject of a number of research reports. JPMorgan Chase & Co. raised Ingram Micro from an "underweight" rating to a "neutral" rating and set a $27.00 price target for the company in a research note on Wednesday, May 27th. Wall Street Zen lowered Ingram Micro from a "strong-buy" rating to a "buy" rating in a research note on Sunday, August 16th. Zacks Research cut shares of Ingram Micro from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, August 19th. Morgan Stanley increased their price target on Ingram Micro from $27.50 to $33.00 and gave the stock an "equal weight" rating in a report on Tuesday, June 23rd. Finally, The Goldman Sachs Group reiterated a "neutral" rating and set a $33.00 price objective on shares of Ingram Micro in a report on Friday, July 31st. Three research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Hold" and a consensus target price of $30.88.

Ingram Micro Trading Down 7.1%

The company has a current ratio of 1.31, a quick ratio of 0.88 and a debt-to-equity ratio of 0.60. The stock has a market capitalization of $6.08 billion, a P/E ratio of 14.39, a price-to-earnings-growth ratio of 0.75 and a beta of 1.74. The company has a 50-day moving average price of $28.39 and a 200 day moving average price of $26.96.

Ingram Micro (NYSE:INGM - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The company reported $0.82 earnings per share for the quarter, beating analysts' consensus estimates of $0.74 by $0.08. The company had revenue of $14.53 billion for the quarter, compared to the consensus estimate of $13.85 billion. Ingram Micro had a return on equity of 18.07% and a net margin of 0.77%.Ingram Micro has set its Q3 2026 guidance at 0.720-0.820 EPS. On average, research analysts forecast that Ingram Micro Holding Corporation will post 3.37 earnings per share for the current fiscal year.

Ingram Micro Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, August 25th. Stockholders of record on Tuesday, August 11th were given a dividend of $0.086 per share. The ex-dividend date of this dividend was Tuesday, August 11th. This is a boost from Ingram Micro's previous quarterly dividend of $0.08. This represents a $0.34 dividend on an annualized basis and a dividend yield of 1.3%. Ingram Micro's payout ratio is currently 18.58%.

Insider Buying and Selling at Ingram Micro

In related news, major shareholder Platinum Equity, Llc sold 5,167,069 shares of the company's stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $29.03, for a total transaction of $150,000,013.07. Following the transaction, the insider directly owned 177,466,319 shares of the company's stock, valued at $5,151,847,240.57. This represents a 2.83% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, VP Augusto Aragone sold 50,000 shares of the stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $29.30, for a total transaction of $1,465,000.00. Following the completion of the transaction, the vice president directly owned 150,465 shares of the company's stock, valued at $4,408,624.50. The trade was a 24.94% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 5,227,069 shares of company stock worth $151,765,013. 0.95% of the stock is owned by company insiders.

Institutional Investors Weigh In On Ingram Micro

Institutional investors and hedge funds have recently made changes to their positions in the stock. Royal Bank of Canada increased its position in shares of Ingram Micro by 252.2% in the 1st quarter. Royal Bank of Canada now owns 1,472 shares of the company's stock valued at $34,000 after acquiring an additional 1,054 shares during the period. Allworth Financial LP acquired a new stake in Ingram Micro during the 2nd quarter worth about $35,000. Integrated Wealth Concepts LLC purchased a new stake in Ingram Micro during the 2nd quarter valued at about $38,000. Meeder Asset Management Inc. acquired a new position in shares of Ingram Micro in the second quarter valued at about $44,000. Finally, Comerica Bank increased its holdings in shares of Ingram Micro by 2,844.2% in the third quarter. Comerica Bank now owns 3,798 shares of the company's stock valued at $82,000 after purchasing an additional 3,669 shares during the period.

About Ingram Micro

Ingram Micro, headquartered in Irvine, California, is a global technology distributor and supply chain services provider. Listed on the New York Stock Exchange under the ticker INGM, the company connects leading technology manufacturers, cloud providers and channel partners through an integrated portfolio of products and services. Ingram Micro's end-to-end solutions span product distribution, cloud enablement, e-commerce, logistics and lifecycle management, enabling customers of all sizes to bring new technology to market efficiently.

The company's offerings are organized across several core areas.

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