Why AVNET INC (NASDAQ:AVT) is a Top Pick for Dividend Investors.

Last update: May 12, 2025

Unearth the potential of AVNET INC (NASDAQ:AVT) as a dividend stock recommended by our stock screening tool. AVT maintains a robust financial footing and delivers a sustainable dividend. We'll delve into the details below.

Evaluating Dividend: AVT

An integral part of ChartMill's stock analysis is the Dividend Rating, which spans from 0 to 10. This rating evaluates diverse dividend factors, including yield, historical data, growth, and sustainability. AVT has received a 7 out of 10:

AVT's Dividend Yield is rather good when compared to the industry average which is at 2.20. AVT pays more dividend than 95.20% of the companies in the same industry.
The dividend of AVT is nicely growing with an annual growth rate of 9.30%!
AVT has been paying a dividend for at least 10 years, so it has a reliable track record.
AVT has not decreased their dividend for at least 10 years, which is a reliable track record.
AVT pays out 35.81% of its income as dividend. This is a sustainable payout ratio.

Evaluating Health: AVT

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. AVT has received a 6 out of 10:

An Altman-Z score of 3.47 indicates that AVT is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.47, AVT is in the better half of the industry, outperforming 60.80% of the companies in the same industry.
The Debt to FCF ratio of AVT is 3.54, which is a good value as it means it would take AVT, 3.54 years of fcf income to pay off all of its debts.
AVT has a Debt to FCF ratio of 3.54. This is in the better half of the industry: AVT outperforms 64.80% of its industry peers.
A Current Ratio of 2.44 indicates that AVT has no problem at all paying its short term obligations.

Profitability Assessment of AVT

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. AVT has earned a 5 out of 10:

The Return On Assets of AVT (2.70%) is better than 61.60% of its industry peers.
Looking at the Return On Equity, with a value of 6.49%, AVT is in the better half of the industry, outperforming 64.00% of the companies in the same industry.
The Return On Invested Capital of AVT (6.87%) is better than 70.40% of its industry peers.
The last Return On Invested Capital (6.87%) for AVT is well below the 3 year average (11.06%), which needs to be investigated, but indicates that AVT had better years and this may not be a problem.
In the last couple of years the Profit Margin of AVT has grown nicely.
AVT's Operating Margin has improved in the last couple of years.

Every day, new Best Dividend stocks can be found on ChartMill in our Best Dividend screener.

Our latest full fundamental report of AVT contains the most current fundamental analsysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.