ScanSource (NASDAQ:SCSC) Coverage Initiated by Analysts at Barclays

Key Points

• ScanSource has been upgraded to a "hold" rating by Barclays, with other analysts providing mixed ratings, including a "strong-buy" and "buy" rating from Zacks Research and Wall Street Zen, respectively.
• The company reported earnings of $1.02 per share for the last quarter, exceeding estimates by $0.11, and had a revenue of $812.89 million, up 8.9% year-over-year.
• Institutional investors own approximately 97.91% of ScanSource's stock, with Canada Pension Plan Investment Board and Osaic Holdings Inc. among those recently acquiring stakes in the company.

Equities research analysts at Barclays started coverage on shares of ScanSource (NASDAQ:SCSC - Get Free Report) in a report released on Tuesday, MarketBeat reports. The brokerage set an "equal weight" rating and a $43.00 price target on the industrial products company's stock. Barclays's price objective indicates a potential upside of 2.14% from the stock's previous close.

SCSC has been the topic of a number of other research reports. Zacks Research upgraded shares of ScanSource from a "hold" rating to a "strong-buy" rating in a report on Monday, August 25th. Weiss Ratings reiterated a "hold (c+)" rating on shares of ScanSource in a report on Wednesday. Finally, Wall Street Zen lowered shares of ScanSource from a "strong-buy" rating to a "buy" rating in a report on Friday, October 3rd. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $42.50.

ScanSource Stock Performance

NASDAQ SCSC opened at $42.10 on Tuesday. The stock has a market cap of $921.36 million, a PE ratio of 13.99, a PEG ratio of 0.70 and a beta of 1.36. The firm's fifty day moving average price is $43.11 and its two-hundred day moving average price is $39.79. The company has a debt-to-equity ratio of 0.14, a quick ratio of 1.30 and a current ratio of 2.01. ScanSource has a fifty-two week low of $28.75 and a fifty-two week high of $53.90.

ScanSource (NASDAQ:SCSC - Get Free Report) last issued its quarterly earnings results on Thursday, August 21st. The industrial products company reported $1.02 EPS for the quarter, topping analysts' consensus estimates of $0.91 by $0.11. The company had revenue of $812.89 million for the quarter, compared to analyst estimates of $776.21 million. ScanSource had a net margin of 2.35% and a return on equity of 9.38%. ScanSource's revenue was up 8.9% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.80 earnings per share. ScanSource has set its FY 2026 guidance at EPS. On average, equities analysts expect that ScanSource will post 3.33 EPS for the current fiscal year.

Insider Buying and Selling at ScanSource

In other ScanSource news, EVP Rachel Hayden sold 1,080 shares of ScanSource stock in a transaction on Thursday, August 28th. The shares were sold at an average price of $44.69, for a total value of $48,265.20. Following the completion of the sale, the executive vice president directly owned 11,688 shares of the company's stock, valued at approximately $522,336.72. The trade was a 8.46% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Michael L. Baur sold 102,031 shares of ScanSource stock in a transaction on Wednesday, September 17th. The shares were sold at an average price of $44.96, for a total transaction of $4,587,313.76. Following the completion of the sale, the chief executive officer directly owned 227,512 shares of the company's stock, valued at approximately $10,228,939.52. This trade represents a 30.96% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 153,677 shares of company stock worth $6,876,030. 4.20% of the stock is owned by company insiders.

Institutional Investors Weigh In On ScanSource

Several hedge funds and other institutional investors have recently bought and sold shares of SCSC. Wealth Enhancement Advisory Services LLC bought a new stake in ScanSource in the fourth quarter valued at $365,000. GAMMA Investing LLC increased its position in shares of ScanSource by 4,168.2% during the first quarter. GAMMA Investing LLC now owns 66,115 shares of the industrial products company's stock worth $2,249,000 after acquiring an additional 64,566 shares in the last quarter. SG Americas Securities LLC bought a new stake in shares of ScanSource during the first quarter worth about $487,000. SummerHaven Investment Management LLC increased its position in shares of ScanSource by 1.9% during the first quarter. SummerHaven Investment Management LLC now owns 18,409 shares of the industrial products company's stock worth $626,000 after acquiring an additional 344 shares in the last quarter. Finally, Ritholtz Wealth Management increased its position in shares of ScanSource by 33.4% during the first quarter. Ritholtz Wealth Management now owns 20,021 shares of the industrial products company's stock worth $681,000 after acquiring an additional 5,008 shares in the last quarter. 97.91% of the stock is owned by institutional investors.

ScanSource Company Profile

ScanSource, Inc engages in the distribution of technology products and solutions in the United States, Canada, and Brazil. It operates through two segments, Specialty Technology Solutions and Modern Communications & Cloud. The Specialty Technology Solutions segment provides a portfolio of solutions primarily for enterprise mobile computing, data capture, barcode printing, point of sale (POS), payments, networking, electronic physical security, cyber security, and other technologies.