AVNET INC (AVT) Stock Fundamental Analysis
NASDAQ:AVT - Nasdaq - US0538071038 - Common Stock - Currency: USD
AVT gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 125 industry peers in the Electronic Equipment, Instruments & Components industry. AVT has an average financial health and profitability rating. AVT has a valuation in line with the averages, but it does not seem to be growing. AVT also has an excellent dividend rating. With these ratings, AVT could be worth investigating further for dividend investing!.
1. Profitability
1.1 Basic Checks
In the past year AVT was profitable.
In the past year AVT had a positive cash flow from operations.
AVT had positive earnings in 4 of the past 5 years.
In multiple years AVT reported negative operating cash flow during the last 5 years.
1.2 Ratios
AVT has a Return On Assets of 2.70%. This is in the better half of the industry: AVT outperforms 64.80% of its industry peers.
AVT's Return On Equity of 6.49% is fine compared to the rest of the industry. AVT outperforms 64.00% of its industry peers.
AVT has a better Return On Invested Capital (6.87%) than 70.40% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AVT is in line with the industry average of 9.35%.
The 3 year average ROIC (11.06%) for AVT is well above the current ROIC(6.87%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.7% | ||
| ROE | 6.49% | ||
| ROIC | 6.87% |
ROA(3y)5.64%
ROA(5y)3.74%
ROE(3y)14.28%
ROE(5y)9.35%
ROIC(3y)11.06%
ROIC(5y)8.21%
1.3 Margins
AVT has a Profit Margin (1.43%) which is comparable to the rest of the industry.
AVT's Profit Margin has improved in the last couple of years.
AVT has a Operating Margin of 3.04%. This is comparable to the rest of the industry: AVT outperforms 56.00% of its industry peers.
AVT's Operating Margin has improved in the last couple of years.
AVT has a worse Gross Margin (10.99%) than 76.00% of its industry peers.
In the last couple of years the Gross Margin of AVT has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.04% | ||
| PM (TTM) | 1.43% | ||
| GM | 10.99% |
OM growth 3Y26.31%
OM growth 5Y3.78%
PM growth 3Y28.56%
PM growth 5Y18.41%
GM growth 3Y0.5%
GM growth 5Y-1.78%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AVT is creating some value.
The number of shares outstanding for AVT has been reduced compared to 1 year ago.
The number of shares outstanding for AVT has been reduced compared to 5 years ago.
AVT has a better debt/assets ratio than last year.
2.2 Solvency
AVT has an Altman-Z score of 3.47. This indicates that AVT is financially healthy and has little risk of bankruptcy at the moment.
AVT has a Altman-Z score (3.47) which is in line with its industry peers.
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.
With a decent Debt to FCF ratio value of 3.54, AVT is doing good in the industry, outperforming 65.60% of the companies in the same industry.
AVT has a Debt/Equity ratio of 0.51. This is a neutral value indicating AVT is somewhat dependend on debt financing.
AVT has a worse Debt to Equity ratio (0.51) than 75.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.54 | ||
| Altman-Z | 3.47 |
ROIC/WACC0.67
WACC10.23%
2.3 Liquidity
A Current Ratio of 2.44 indicates that AVT has no problem at all paying its short term obligations.
The Current ratio of AVT (2.44) is comparable to the rest of the industry.
A Quick Ratio of 1.13 indicates that AVT should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.13, AVT is doing worse than 74.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.44 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
AVT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -37.60%.
The Earnings Per Share has been growing slightly by 5.34% on average over the past years.
The Revenue for AVT has decreased by -10.52% in the past year. This is quite bad
AVT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.01% yearly.
EPS 1Y (TTM)-37.6%
EPS 3Y25.45%
EPS 5Y5.34%
EPS Q2Q%-23.64%
Revenue 1Y (TTM)-10.52%
Revenue growth 3Y6.74%
Revenue growth 5Y4.01%
Sales Q2Q%-5.98%
3.2 Future
Based on estimates for the next years, AVT will show a small growth in Earnings Per Share. The EPS will grow by 7.14% on average per year.
Based on estimates for the next years, AVT will show a small growth in Revenue. The Revenue will grow by 0.81% on average per year.
EPS Next Y-36.71%
EPS Next 2Y-2.23%
EPS Next 3Y7.14%
EPS Next 5YN/A
Revenue Next Year-6.91%
Revenue Next 2Y-1.86%
Revenue Next 3Y0.81%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.29, the valuation of AVT can be described as correct.
Based on the Price/Earnings ratio, AVT is valued cheaply inside the industry as 91.20% of the companies are valued more expensively.
AVT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.57.
Based on the Price/Forward Earnings ratio of 10.04, the valuation of AVT can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AVT indicates a rather cheap valuation: AVT is cheaper than 95.20% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of AVT to the average of the S&P500 Index (22.41), we can say AVT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.29 | ||
| Fwd PE | 10.04 |
4.2 Price Multiples
AVT's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AVT is cheaper than 88.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AVT is valued cheaper than 96.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.76 | ||
| EV/EBITDA | 9.04 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.49
EPS Next 2Y-2.23%
EPS Next 3Y7.14%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.56%, AVT has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.04, AVT pays a better dividend. On top of this AVT pays more dividend than 96.00% of the companies listed in the same industry.
AVT's Dividend Yield is comparable with the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.56% |
5.2 History
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 its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)9.3%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
35.81% of the earnings are spent on dividend by AVT. This is a low number and sustainable payout ratio.
The dividend of AVT is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP35.81%
EPS Next 2Y-2.23%
EPS Next 3Y7.14%
NASDAQ:AVT (6/17/2025, 3:35:37 PM)
51.15
-0.36 (-0.7%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners109.4%
Inst Owner Change-0.81%
Ins Owners0.5%
Ins Owner Change-2.29%
Market Cap4.29B
Analysts50.77
Price Target52.28 (2.21%)
Short Float %5.22%
Short Ratio5.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.56% |
Yearly Dividend1.24
Dividend Growth(5Y)9.3%
DP35.81%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.65%
Min EPS beat(2)-3.18%
Max EPS beat(2)16.48%
EPS beat(4)3
Avg EPS beat(4)11.72%
Min EPS beat(4)-3.18%
Max EPS beat(4)27.49%
EPS beat(8)5
Avg EPS beat(8)9.04%
EPS beat(12)9
Avg EPS beat(12)8.09%
EPS beat(16)13
Avg EPS beat(16)12.34%
Revenue beat(2)2
Avg Revenue beat(2)0.32%
Min Revenue beat(2)0.22%
Max Revenue beat(2)0.43%
Revenue beat(4)4
Avg Revenue beat(4)1.36%
Min Revenue beat(4)0.22%
Max Revenue beat(4)2.62%
Revenue beat(8)5
Avg Revenue beat(8)0.68%
Revenue beat(12)9
Avg Revenue beat(12)1.27%
Revenue beat(16)13
Avg Revenue beat(16)2.43%
PT rev (1m)0%
PT rev (3m)-1.91%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-20.27%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.65%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.03%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.29 | ||
| Fwd PE | 10.04 | ||
| P/S | 0.19 | ||
| P/FCF | 5.76 | ||
| P/OCF | 4.99 | ||
| P/B | 0.88 | ||
| P/tB | 1.05 | ||
| EV/EBITDA | 9.04 |
EPS(TTM)3.85
EY7.53%
EPS(NY)5.09
Fwd EY9.96%
FCF(TTM)8.89
FCFY17.37%
OCF(TTM)10.25
OCFY20.03%
SpS264.08
BVpS58.25
TBVpS48.77
PEG (NY)N/A
PEG (5Y)2.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.7% | ||
| ROE | 6.49% | ||
| ROCE | 8.74% | ||
| ROIC | 6.87% | ||
| ROICexc | 7.05% | ||
| ROICexgc | 7.88% | ||
| OM | 3.04% | ||
| PM (TTM) | 1.43% | ||
| GM | 10.99% | ||
| FCFM | 3.36% |
ROA(3y)5.64%
ROA(5y)3.74%
ROE(3y)14.28%
ROE(5y)9.35%
ROIC(3y)11.06%
ROIC(5y)8.21%
ROICexc(3y)11.43%
ROICexc(5y)8.52%
ROICexgc(3y)12.87%
ROICexgc(5y)9.69%
ROCE(3y)14.06%
ROCE(5y)10.44%
ROICexcg growth 3Y20.95%
ROICexcg growth 5Y-0.53%
ROICexc growth 3Y23.19%
ROICexc growth 5Y1.41%
OM growth 3Y26.31%
OM growth 5Y3.78%
PM growth 3Y28.56%
PM growth 5Y18.41%
GM growth 3Y0.5%
GM growth 5Y-1.78%
F-Score5
Asset Turnover1.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.54 | ||
| Debt/EBITDA | 3.33 | ||
| Cap/Depr | 150.46% | ||
| Cap/Sales | 0.52% | ||
| Interest Coverage | 2.22 | ||
| Cash Conversion | 114.8% | ||
| Profit Quality | 235.21% | ||
| Current Ratio | 2.44 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 3.47 |
F-Score5
WACC10.23%
ROIC/WACC0.67
Cap/Depr(3y)176.23%
Cap/Depr(5y)121.45%
Cap/Sales(3y)0.63%
Cap/Sales(5y)0.51%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-37.6%
EPS 3Y25.45%
EPS 5Y5.34%
EPS Q2Q%-23.64%
EPS Next Y-36.71%
EPS Next 2Y-2.23%
EPS Next 3Y7.14%
EPS Next 5YN/A
Revenue 1Y (TTM)-10.52%
Revenue growth 3Y6.74%
Revenue growth 5Y4.01%
Sales Q2Q%-5.98%
Revenue Next Year-6.91%
Revenue Next 2Y-1.86%
Revenue Next 3Y0.81%
Revenue Next 5YN/A
EBIT growth 1Y-33.8%
EBIT growth 3Y34.82%
EBIT growth 5Y7.94%
EBIT Next Year-21.15%
EBIT Next 3Y3.24%
EBIT Next 5YN/A
FCF growth 1Y157.27%
FCF growth 3Y125.36%
FCF growth 5Y2.38%
OCF growth 1Y174.84%
OCF growth 3Y96.53%
OCF growth 5Y5.23%