TD SYNNEX CORP (SNX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SNX - US87162W1009 - Common Stock
154.91 USD
+1.81 (+1.18%)
154.91 USD
0 (0%)
Taking everything into account, SNX scores 4 out of 10 in our fundamental rating. SNX was compared to 124 industry peers in the Electronic Equipment, Instruments & Components industry. There are concerns on the financial health of SNX while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on SNX.
1. Profitability
1.1 Basic Checks
SNX had positive earnings in the past year.
In the past year SNX had a positive cash flow from operations.
Each year in the past 5 years SNX has been profitable.
Of the past 5 years SNX 4 years had a positive operating cash flow.
1.2 Ratios
SNX's Return On Assets of 2.42% is in line compared to the rest of the industry. SNX outperforms 58.06% of its industry peers.
SNX's Return On Equity of 9.08% is fine compared to the rest of the industry. SNX outperforms 70.16% of its industry peers.
The Return On Invested Capital of SNX (8.36%) is better than 76.61% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SNX is in line with the industry average of 9.32%.
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 has a Profit Margin (1.26%) which is in line with its industry peers.
SNX's Profit Margin has declined in the last couple of years.
The Operating Margin of SNX (2.21%) is comparable to the rest of the industry.
SNX's Operating Margin has declined in the last couple of years.
SNX has a worse Gross Margin (6.91%) than 86.29% of its industry peers.
In the last couple of years the Gross Margin of SNX has declined.
| 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.
The number of shares outstanding for SNX has been reduced compared to 1 year ago.
SNX has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SNX has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.67 indicates that SNX is not a great score, but indicates only limited risk for bankruptcy at the moment.
SNX has a worse Altman-Z score (2.67) than 64.52% of its industry peers.
SNX has a debt to FCF ratio of 8.83. This is a slightly negative value and a sign of low solvency as SNX would need 8.83 years to pay back of 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 60.48% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 8.83 | ||
| Altman-Z | 2.67 |
ROIC/WACC0.89
WACC9.4%
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.
Looking at the Current ratio, with a value of 1.20, SNX is doing worse than 87.10% of the companies in the same industry.
A Quick Ratio of 0.71 indicates that SNX may have some problems paying its short term obligations.
SNX has a Quick ratio of 0.71. This is amonst the worse of the industry: SNX underperforms 91.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
SNX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.40%.
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
The Earnings Per Share is expected to grow by 12.34% on average over the next years. This is quite good.
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
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 12.43, the valuation of SNX can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of SNX indicates a rather cheap valuation: SNX is cheaper than 89.52% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.57, SNX is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 10.53, the valuation of SNX can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SNX indicates a rather cheap valuation: SNX is cheaper than 90.32% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.04, SNX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.43 | ||
| Fwd PE | 10.53 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SNX is valued cheaply inside the industry as 91.13% of the companies are valued more expensively.
SNX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SNX is cheaper than 74.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.27 | ||
| EV/EBITDA | 9.01 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SNX's earnings are expected to grow with 12.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.93
PEG (5Y)N/A
EPS Next 2Y12.29%
EPS Next 3Y12.34%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.16%, SNX has a reasonable but not impressive dividend return.
SNX's Dividend Yield is rather good when compared to the industry average which is at 0.47. SNX pays more dividend than 87.90% of the companies in the same industry.
SNX's Dividend Yield is slightly below the S&P500 average, which is at 1.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
5.2 History
The dividend of SNX has a limited annual growth rate of 1.30%.
SNX has paid a dividend for at least 10 years, which is 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%
154.91
+1.81 (+1.18%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners93.43%
Inst Owner Change-1.8%
Ins Owners0.73%
Ins Owner Change0.31%
Market Cap12.62B
Revenue(TTM)60.97B
Net Income(TTM)767.18M
Analysts82.35
Price TargetN/A
Short Float %2.3%
Short Ratio2.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
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)0%
PT rev (3m)13.05%
EPS NQ rev (1m)0%
EPS NQ rev (3m)12.07%
EPS NY rev (1m)0%
EPS NY rev (3m)7.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.91%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.43 | ||
| Fwd PE | 10.53 | ||
| P/S | 0.21 | ||
| P/FCF | 26.27 | ||
| P/OCF | 19.92 | ||
| P/B | 1.49 | ||
| P/tB | 27.3 | ||
| EV/EBITDA | 9.01 |
EPS(TTM)12.46
EY8.04%
EPS(NY)14.71
Fwd EY9.5%
FCF(TTM)5.9
FCFY3.81%
OCF(TTM)7.78
OCFY5.02%
SpS748.69
BVpS103.8
TBVpS5.67
PEG (NY)0.93
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 | 2.67 |
F-Score5
WACC9.4%
ROIC/WACC0.89
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 Year19.6%
EBIT Next 3Y9.88%
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%.