TD SYNNEX CORP (SNX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SNX - US87162W1009 - Common Stock
146.24 USD
+3.82 (+2.68%)
146.24 USD
0 (0%)
SNX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 123 industry peers in the Electronic Equipment, Instruments & Components industry. SNX has a medium profitability rating, but doesn't score so well on its financial health evaluation. SNX may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
SNX had positive earnings in the past year.
SNX had a positive operating cash flow in the past year.
Each year in the past 5 years SNX has been profitable.
SNX had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.42%, SNX is in line with its industry, outperforming 58.06% of the companies in the same industry.
With a decent Return On Equity value of 9.08%, SNX is doing good in the industry, outperforming 70.16% of the companies in the same industry.
SNX's Return On Invested Capital of 8.36% is fine compared to the rest of the industry. SNX outperforms 76.61% of its industry peers.
SNX had an Average Return On Invested Capital over the past 3 years of 7.79%. This is in line with the industry average of 9.10%.
The last Return On Invested Capital (8.36%) for SNX is above the 3 year average (7.79%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.42% | ||
| ROE | 9.08% | ||
| ROIC | 8.36% |
ROA(3y)2.18%
ROA(5y)2.37%
ROE(3y)8.05%
ROE(5y)8.23%
ROIC(3y)7.79%
ROIC(5y)7.32%
1.3 Margins
SNX's Profit Margin of 1.26% is in line compared to the rest of the industry. SNX outperforms 50.00% of its industry peers.
SNX's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 2.21%, SNX is in line with its industry, outperforming 52.42% of the companies in the same industry.
In the last couple of years the Operating Margin of SNX has declined.
SNX's Gross Margin of 6.91% is on the low side compared to the rest of the industry. SNX is outperformed by 86.29% of its industry peers.
SNX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.21% | ||
| PM (TTM) | 1.26% | ||
| GM | 6.91% |
OM growth 3Y-2.36%
OM growth 5Y-10.29%
PM growth 3Y-1.88%
PM growth 5Y-10.96%
GM growth 3Y4.45%
GM growth 5Y-11%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SNX is destroying value.
Compared to 1 year ago, SNX has less shares outstanding
The number of shares outstanding for SNX has been increased compared to 5 years ago.
The debt/assets ratio for SNX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.65 indicates that SNX is not a great score, but indicates only limited risk for bankruptcy at the moment.
SNX has a Altman-Z score of 2.65. This is in the lower half of the industry: SNX underperforms 61.29% of its industry peers.
The Debt to FCF ratio of SNX is 8.83, which is on the high side as it means it would take SNX, 8.83 years of fcf income to pay off all of its debts.
SNX has a Debt to FCF ratio (8.83) which is comparable to the rest of the industry.
SNX has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.36, SNX is doing worse than 62.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 8.83 | ||
| Altman-Z | 2.65 |
ROIC/WACC0.87
WACC9.59%
2.3 Liquidity
SNX has a Current Ratio of 1.20. This is a normal value and indicates that SNX is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.20, SNX is not doing good in the industry: 86.29% of the companies in the same industry are doing better.
A Quick Ratio of 0.71 indicates that SNX may have some problems paying its short term obligations.
SNX has a worse Quick ratio (0.71) than 91.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.40% over the past year.
SNX shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.52% yearly.
The Revenue has been growing slightly by 6.94% in the past year.
Measured over the past years, SNX shows a quite strong growth in Revenue. The Revenue has been growing by 19.73% on average per year.
EPS 1Y (TTM)6.4%
EPS 3Y9.13%
EPS 5Y-2.52%
EPS Q2Q%25.17%
Revenue 1Y (TTM)6.94%
Revenue growth 3Y22.74%
Revenue growth 5Y19.73%
Sales Q2Q%6.58%
3.2 Future
Based on estimates for the next years, SNX will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.34% on average per year.
Based on estimates for the next years, SNX will show a small growth in Revenue. The Revenue will grow by 5.38% on average per year.
EPS Next Y13.3%
EPS Next 2Y12.29%
EPS Next 3Y12.34%
EPS Next 5YN/A
Revenue Next Year7.32%
Revenue Next 2Y5.9%
Revenue Next 3Y5.38%
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
SNX is valuated reasonably with a Price/Earnings ratio of 11.74.
Compared to the rest of the industry, the Price/Earnings ratio of SNX indicates a rather cheap valuation: SNX is cheaper than 90.32% of the companies listed in the same industry.
SNX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.45.
SNX is valuated reasonably with a Price/Forward Earnings ratio of 9.94.
SNX's Price/Forward Earnings ratio is rather cheap when compared to the industry. SNX is cheaper than 91.94% of the companies in the same industry.
SNX's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.74 | ||
| Fwd PE | 9.94 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SNX is valued cheaper than 88.71% of the companies in the same industry.
74.19% of the companies in the same industry are more expensive than SNX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.8 | ||
| EV/EBITDA | 8.69 |
4.3 Compensation for Growth
SNX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as SNX's earnings are expected to grow with 12.34% in the coming years.
PEG (NY)0.88
PEG (5Y)N/A
EPS Next 2Y12.29%
EPS Next 3Y12.34%
5. Dividend
5.1 Amount
SNX has a Yearly Dividend Yield of 1.24%. Purely for dividend investing, there may be better candidates out there.
SNX's Dividend Yield is rather good when compared to the industry average which is at 2.46. SNX pays more dividend than 87.10% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, SNX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
5.2 History
The dividend of SNX has a limited annual growth rate of 1.30%.
SNX has been paying a dividend for at least 10 years, so it has a reliable track record.
SNX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.3%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
SNX pays out 18.83% of its income as dividend. This is a sustainable payout ratio.
SNX's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP18.83%
EPS Next 2Y12.29%
EPS Next 3Y12.34%
146.24
+3.82 (+2.68%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners93.62%
Inst Owner Change-1.81%
Ins Owners0.73%
Ins Owner Change0.42%
Market Cap11.91B
Revenue(TTM)60.97B
Net Income(TTM)767.18M
Analysts82.35
Price Target179.99 (23.08%)
Short Float %2.56%
Short Ratio2.64
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
Yearly Dividend1.6
Dividend Growth(5Y)1.3%
DP18.83%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.7%
Min EPS beat(2)9.03%
Max EPS beat(2)16.37%
EPS beat(4)3
Avg EPS beat(4)5.29%
Min EPS beat(4)-4.6%
Max EPS beat(4)16.37%
EPS beat(8)6
Avg EPS beat(8)4.76%
EPS beat(12)9
Avg EPS beat(12)5.21%
EPS beat(16)12
Avg EPS beat(16)4.97%
Revenue beat(2)2
Avg Revenue beat(2)2.97%
Min Revenue beat(2)2.55%
Max Revenue beat(2)3.39%
Revenue beat(4)3
Avg Revenue beat(4)1.57%
Min Revenue beat(4)-2.72%
Max Revenue beat(4)3.39%
Revenue beat(8)4
Avg Revenue beat(8)0.27%
Revenue beat(12)5
Avg Revenue beat(12)-0.55%
Revenue beat(16)8
Avg Revenue beat(16)0.14%
PT rev (1m)5.38%
PT rev (3m)14.38%
EPS NQ rev (1m)0%
EPS NQ rev (3m)12.13%
EPS NY rev (1m)0%
EPS NY rev (3m)7.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.82%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.74 | ||
| Fwd PE | 9.94 | ||
| P/S | 0.2 | ||
| P/FCF | 24.8 | ||
| P/OCF | 18.81 | ||
| P/B | 1.41 | ||
| P/tB | 25.78 | ||
| EV/EBITDA | 8.69 |
EPS(TTM)12.46
EY8.52%
EPS(NY)14.71
Fwd EY10.06%
FCF(TTM)5.9
FCFY4.03%
OCF(TTM)7.78
OCFY5.32%
SpS748.69
BVpS103.8
TBVpS5.67
PEG (NY)0.88
PEG (5Y)N/A
Graham Number170.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.42% | ||
| ROE | 9.08% | ||
| ROCE | 10.52% | ||
| ROIC | 8.36% | ||
| ROICexc | 8.97% | ||
| ROICexgc | 27.18% | ||
| OM | 2.21% | ||
| PM (TTM) | 1.26% | ||
| GM | 6.91% | ||
| FCFM | 0.79% |
ROA(3y)2.18%
ROA(5y)2.37%
ROE(3y)8.05%
ROE(5y)8.23%
ROIC(3y)7.79%
ROIC(5y)7.32%
ROICexc(3y)8.36%
ROICexc(5y)8.17%
ROICexgc(3y)25.16%
ROICexgc(5y)22.93%
ROCE(3y)9.8%
ROCE(5y)9.21%
ROICexgc growth 3Y14.05%
ROICexgc growth 5Y3.33%
ROICexc growth 3Y21.3%
ROICexc growth 5Y-3.93%
OM growth 3Y-2.36%
OM growth 5Y-10.29%
PM growth 3Y-1.88%
PM growth 5Y-10.96%
GM growth 3Y4.45%
GM growth 5Y-11%
F-Score5
Asset Turnover1.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 8.83 | ||
| Debt/EBITDA | 1.73 | ||
| Cap/Depr | 37.19% | ||
| Cap/Sales | 0.25% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 36.03% | ||
| Profit Quality | 62.6% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 2.65 |
F-Score5
WACC9.59%
ROIC/WACC0.87
Cap/Depr(3y)34.7%
Cap/Depr(5y)39.65%
Cap/Sales(3y)0.25%
Cap/Sales(5y)0.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.4%
EPS 3Y9.13%
EPS 5Y-2.52%
EPS Q2Q%25.17%
EPS Next Y13.3%
EPS Next 2Y12.29%
EPS Next 3Y12.34%
EPS Next 5YN/A
Revenue 1Y (TTM)6.94%
Revenue growth 3Y22.74%
Revenue growth 5Y19.73%
Sales Q2Q%6.58%
Revenue Next Year7.32%
Revenue Next 2Y5.9%
Revenue Next 3Y5.38%
Revenue Next 5YN/A
EBIT growth 1Y5.75%
EBIT growth 3Y19.84%
EBIT growth 5Y7.42%
EBIT Next Year13.49%
EBIT Next 3Y8.63%
EBIT Next 5YN/A
FCF growth 1Y-64.51%
FCF growth 3Y11.36%
FCF growth 5Y20.38%
OCF growth 1Y-57.75%
OCF growth 3Y14.57%
OCF growth 5Y17.23%
TD SYNNEX CORP / SNX FAQ
What is the fundamental rating for SNX stock?
ChartMill assigns a fundamental rating of 4 / 10 to SNX.
What is the valuation status of TD SYNNEX CORP (SNX) stock?
ChartMill assigns a valuation rating of 7 / 10 to TD SYNNEX CORP (SNX). This can be considered as Undervalued.
What is the profitability of SNX stock?
TD SYNNEX CORP (SNX) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for SNX stock?
The Earnings per Share (EPS) of TD SYNNEX CORP (SNX) is expected to grow by 13.3% in the next year.
Is the dividend of TD SYNNEX CORP sustainable?
The dividend rating of TD SYNNEX CORP (SNX) is 6 / 10 and the dividend payout ratio is 18.83%.