TD SYNNEX (NYSE:SNX) Reaches New 12-Month High - Still a Buy?

Key Points

• TD SYNNEX hit a new 52-week high, trading as high as $227.84 (last $227.685) with a market capitalization around $18.15 billion.
• The company delivered a strong quarter, reporting EPS of $4.73 versus $3.24 expected and revenue of $17.16 billion (up 18.1% year-over-year), both beating estimates.
• Multiple analysts have raised targets and ratings recently, but MarketBeat shows a consensus of "Moderate Buy" with an average price target of $186.50, notably below the current share price.

TD SYNNEX Corporation (NYSE:SNX - Get Free Report) hit a new 52-week high during mid-day trading on Monday . The company traded as high as $227.84 and last traded at $227.6850, with a volume of 646862 shares trading hands. The stock had previously closed at $227.71.

Analyst Ratings Changes

SNX has been the subject of a number of recent research reports. Royal Bank Of Canada lifted their price target on shares of TD SYNNEX from $180.00 to $210.00 and gave the company an "outperform" rating in a research report on Wednesday, April 1st. Barclays lifted their target price on shares of TD SYNNEX from $163.00 to $166.00 and gave the stock an "equal weight" rating in a report on Wednesday, April 1st. Morgan Stanley lifted their target price on shares of TD SYNNEX from $172.00 to $174.00 and gave the stock an "overweight" rating in a report on Friday, March 20th. The Goldman Sachs Group lifted their target price on shares of TD SYNNEX from $180.00 to $205.00 and gave the stock a "buy" rating in a report on Thursday, April 2nd. Finally, UBS Group lifted their target price on shares of TD SYNNEX from $187.00 to $193.00 and gave the stock a "buy" rating in a report on Friday, January 9th. One equities research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, TD SYNNEX currently has a consensus rating of "Moderate Buy" and an average price target of $186.50.

TD SYNNEX Price Performance

The company has a quick ratio of 0.71, a current ratio of 1.22 and a debt-to-equity ratio of 0.41. The firm has a market capitalization of $18.15 billion, a PE ratio of 18.75, a PEG ratio of 1.15 and a beta of 1.23. The firm's fifty day simple moving average is $175.02 and its 200-day simple moving average is $161.43.

TD SYNNEX (NYSE:SNX - Get Free Report) last issued its earnings results on Tuesday, March 31st. The business services provider reported $4.73 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.24 by $1.49. The business had revenue of $17.16 billion during the quarter, compared to analysts' expectations of $15.59 billion. TD SYNNEX had a net margin of 1.52% and a return on equity of 14.03%. The business's revenue for the quarter was up 18.1% compared to the same quarter last year. During the same period in the previous year, the company earned $2.80 earnings per share. On average, research analysts forecast that TD SYNNEX Corporation will post 15.69 earnings per share for the current fiscal year.

TD SYNNEX Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 29th. Stockholders of record on Wednesday, April 15th will be issued a dividend of $0.48 per share. This represents a $1.92 annualized dividend and a dividend yield of 0.9%. The ex-dividend date of this dividend is Wednesday, April 15th. TD SYNNEX's payout ratio is presently 15.96%.

Insider Activity

In other news, CEO Patrick Zammit sold 13,900 shares of the business's stock in a transaction that occurred on Friday, February 6th. The shares were sold at an average price of $171.57, for a total transaction of $2,384,823.00. Following the completion of the transaction, the chief executive officer directly owned 170,928 shares of the company's stock, valued at $29,326,116.96. The trade was a 7.52% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO David Gregory Jordan sold 3,225 shares of the business's stock in a transaction that occurred on Monday, April 6th. The shares were sold at an average price of $189.46, for a total transaction of $611,008.50. Following the transaction, the chief financial officer directly owned 14,035 shares of the company's stock, valued at $2,659,071.10. The trade was a 18.68% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 82,165 shares of company stock valued at $13,559,368 over the last three months. Corporate insiders own 0.70% of the company's stock.

Institutional Trading of TD SYNNEX

Several large investors have recently added to or reduced their stakes in the business. State Street Corp boosted its position in shares of TD SYNNEX by 0.4% in the third quarter. State Street Corp now owns 2,372,733 shares of the business services provider's stock worth $388,535,000 after purchasing an additional 9,024 shares during the period. Ninety One UK Ltd lifted its holdings in shares of TD SYNNEX by 13.1% in the fourth quarter. Ninety One UK Ltd now owns 2,229,091 shares of the business services provider's stock worth $334,876,000 after buying an additional 258,630 shares in the last quarter. LSV Asset Management lifted its holdings in shares of TD SYNNEX by 16.1% in the fourth quarter. LSV Asset Management now owns 2,086,604 shares of the business services provider's stock worth $313,471,000 after buying an additional 288,625 shares in the last quarter. Geode Capital Management LLC lifted its holdings in shares of TD SYNNEX by 6.9% in the fourth quarter. Geode Capital Management LLC now owns 1,532,784 shares of the business services provider's stock worth $230,315,000 after buying an additional 99,090 shares in the last quarter. Finally, Metropolis Capital Ltd lifted its holdings in shares of TD SYNNEX by 9.5% in the first quarter. Metropolis Capital Ltd now owns 1,281,307 shares of the business services provider's stock worth $216,169,000 after buying an additional 111,222 shares in the last quarter. 84.00% of the stock is currently owned by institutional investors.

TD SYNNEX Company Profile

TD SYNNEX NYSE: SNX is a leading global distributor and solutions aggregator for the information technology industry. Formed in September 2021 through the merger of Tech Data and SYNNEX Corporation, the company provides a comprehensive range of products, services and solutions that span hardware, software, cloud, mobility, security and data center technologies. TD SYNNEX partners with vendors, resellers and system integrators to design, deploy and support IT infrastructures across diverse market segments, including commercial enterprises, public sector organizations and retail operations.

The company's core business activities include the distribution of technology products from manufacturers such as servers, storage, networking equipment and peripherals, as well as the resale and provisioning of software licenses and cloud-based solutions.

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