Zacks Research Issues Pessimistic Estimate for ARW Earnings

Key Points

• Zacks Research has lowered its Q3 2025 EPS estimate for Arrow Electronics from $2.51 to $2.27, reflecting a pessimistic outlook for the technology company.
• Arrow Electronics reported Q2 earnings of $2.43 per share, exceeding expectations, with revenue of $7.58 billion, an increase of 10% year-over-year.
• The majority of analysts rate Arrow Electronics as a "Reduce," with a consensus target price of $115.75, highlighting mixed sentiments regarding its stock performance.

Arrow Electronics, Inc. (NYSE:ARW - Free Report) - Research analysts at Zacks Research lowered their Q3 2025 earnings per share (EPS) estimates for Arrow Electronics in a note issued to investors on Wednesday, August 20th. Zacks Research analyst Team now anticipates that the technology company will post earnings of $2.27 per share for the quarter, down from their previous forecast of $2.51. The consensus estimate for Arrow Electronics' current full-year earnings is $10.57 per share. Zacks Research also issued estimates for Arrow Electronics' Q4 2025 earnings at $3.59 EPS, FY2025 earnings at $10.09 EPS, Q1 2026 earnings at $2.55 EPS, Q2 2026 earnings at $2.92 EPS, Q4 2026 earnings at $4.50 EPS, FY2026 earnings at $13.80 EPS, Q1 2027 earnings at $2.61 EPS and Q2 2027 earnings at $3.00 EPS.

Arrow Electronics (NYSE:ARW - Get Free Report) last posted its quarterly earnings results on Thursday, July 31st. The technology company reported $2.43 earnings per share for the quarter, topping the consensus estimate of $2.03 by $0.40. The firm had revenue of $7.58 billion during the quarter, compared to analysts' expectations of $7.12 billion. Arrow Electronics had a return on equity of 8.37% and a net margin of 1.64%.The company's revenue was up 10.0% on a year-over-year basis. During the same quarter in the previous year, the business earned $2.78 earnings per share. Arrow Electronics has set its Q3 2025 guidance at 2.160-2.360 EPS.

A number of other analysts have also recently commented on the company. Wall Street Zen upgraded Arrow Electronics from a "hold" rating to a "buy" rating in a research report on Saturday, July 26th. Bank of America upped their price objective on Arrow Electronics from $105.00 to $110.00 and gave the company an "underperform" rating in a research report on Monday, June 9th. One research analyst has rated the stock with a Buy rating, one has given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, Arrow Electronics has an average rating of "Reduce" and a consensus price target of $115.75.

Arrow Electronics Stock Performance

Arrow Electronics stock traded up $1.21 during mid-day trading on Friday, reaching $128.22. 204,519 shares of the stock traded hands, compared to its average volume of 543,657. The stock has a market capitalization of $6.60 billion, a PE ratio of 14.48, a price-to-earnings-growth ratio of 0.61 and a beta of 1.10. The company has a debt-to-equity ratio of 0.37, a current ratio of 1.39 and a quick ratio of 1.07. Arrow Electronics has a 12-month low of $86.50 and a 12-month high of $137.80. The business's 50-day moving average is $126.70 and its 200-day moving average is $116.14.

Institutional Investors Weigh In On Arrow Electronics

Several institutional investors have recently modified their holdings of ARW. Raymond James Financial Inc. bought a new stake in shares of Arrow Electronics in the 4th quarter valued at approximately $5,137,000. Mariner LLC raised its holdings in shares of Arrow Electronics by 15.4% in the fourth quarter. Mariner LLC now owns 5,342 shares of the technology company's stock worth $604,000 after buying an additional 711 shares during the period. Guggenheim Capital LLC raised its holdings in shares of Arrow Electronics by 39.9% in the fourth quarter. Guggenheim Capital LLC now owns 3,376 shares of the technology company's stock worth $382,000 after buying an additional 963 shares during the period. MetLife Investment Management LLC raised its holdings in shares of Arrow Electronics by 8.3% in the fourth quarter. MetLife Investment Management LLC now owns 29,642 shares of the technology company's stock worth $3,353,000 after buying an additional 2,275 shares during the period. Finally, MML Investors Services LLC raised its holdings in shares of Arrow Electronics by 12.0% in the fourth quarter. MML Investors Services LLC now owns 14,717 shares of the technology company's stock worth $1,665,000 after buying an additional 1,575 shares during the period. 99.34% of the stock is owned by institutional investors.

Insider Transactions at Arrow Electronics

In other news, SVP Carine Lamercie Jean-Claude sold 2,660 shares of the company's stock in a transaction dated Wednesday, June 11th. The stock was sold at an average price of $124.64, for a total value of $331,542.40. Following the completion of the transaction, the senior vice president owned 17,057 shares of the company's stock, valued at $2,125,984.48. This represents a 13.49% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Sean J. Kerins acquired 8,630 shares of the company's stock in a transaction dated Friday, August 1st. The stock was acquired at an average cost of $114.91 per share, with a total value of $991,673.30. Following the purchase, the chief executive officer owned 122,408 shares of the company's stock, valued at approximately $14,065,903.28. This trade represents a 7.58% increase in their ownership of the stock. The disclosure for this purchase can be found here. Corporate insiders own 0.80% of the company's stock.

About Arrow Electronics

Arrow Electronics, Inc provides products, services, and solutions to industrial and commercial users of electronic components and enterprise computing solutions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company operates in two segments, Global Components and Global Enterprise Computing Solutions.