TD SYNNEX CORP (SNX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SNX - US87162W1009 - Common Stock
153.02 USD
-0.55 (-0.36%)
153.02 USD
0 (0%)
SNX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 124 industry peers in the Electronic Equipment, Instruments & Components industry. While SNX is still in line with the averages on profitability rating, there are concerns on its financial health. SNX may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year SNX was profitable.
In the past year SNX had a positive cash flow from operations.
In the past 5 years SNX has always been profitable.
Of the past 5 years SNX 4 years had a positive operating cash flow.
1.2 Ratios
SNX has a Return On Assets (2.42%) which is comparable to the rest of the industry.
The Return On Equity of SNX (9.08%) is better than 70.16% of its industry peers.
SNX has a better Return On Invested Capital (8.36%) than 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 9.32%.
The 3 year average ROIC (7.79%) for SNX is below the current ROIC(8.36%), indicating increased profibility in the last year.
| 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 of 1.26%. This is comparable 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.
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.
With a Gross Margin value of 6.91%, SNX is not doing good in the industry: 86.29% of the companies in the same industry are doing better.
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
SNX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it 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.
Compared to 1 year ago, SNX has an improved debt to assets ratio.
2.2 Solvency
SNX has an Altman-Z score of 2.67. This is not the best score and indicates that SNX is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of SNX (2.67) is worse than 63.71% 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.
The Debt to FCF ratio of SNX (8.83) 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.
The Debt to Equity ratio of SNX (0.36) is worse than 60.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 8.83 | ||
| Altman-Z | 2.67 |
ROIC/WACC0.89
WACC9.39%
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.
The Current ratio of SNX (1.20) is worse than 87.10% of its industry peers.
SNX has a Quick Ratio of 1.20. This is a bad value and indicates that SNX is not financially healthy enough and could expect problems in meeting its short term obligations.
SNX's Quick ratio of 0.71 is on the low side compared to the rest of the industry. SNX is outperformed by 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%.
The Earnings Per Share has been decreasing by -2.52% on average over the past years.
Looking at the last year, SNX shows a small growth in Revenue. The Revenue has grown by 6.94% in the last year.
SNX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.73% yearly.
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
SNX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.34% yearly.
The Revenue is expected to grow by 5.38% on average over the next years.
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
With a Price/Earnings ratio of 12.28, SNX is valued correctly.
SNX's Price/Earnings ratio is rather cheap when compared to the industry. SNX is cheaper than 89.52% of the companies in the same industry.
SNX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.61.
A Price/Forward Earnings ratio of 10.40 indicates a reasonable valuation of SNX.
SNX's Price/Forward Earnings ratio is rather cheap when compared to the industry. SNX is cheaper than 90.32% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 24.01. SNX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.28 | ||
| Fwd PE | 10.4 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SNX is valued cheaply inside the industry as 90.32% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, SNX is valued a bit cheaper than 74.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.95 | ||
| EV/EBITDA | 9.03 |
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)0.92
PEG (5Y)N/A
EPS Next 2Y12.29%
EPS Next 3Y12.34%
5. Dividend
5.1 Amount
SNX has a Yearly Dividend Yield of 1.16%.
Compared to an average industry Dividend Yield of 0.47, SNX pays a better dividend. On top of this SNX pays more dividend than 87.90% of the companies listed in the same industry.
Compared to the average S&P500 Dividend Yield of 1.87, SNX is paying slightly less dividend.
| 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 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
18.83% of the earnings are spent on dividend by SNX. This is a low number and 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%
153.02
-0.55 (-0.36%)
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 Cap12.46B
Revenue(TTM)60.97B
Net Income(TTM)767.18M
Analysts82.35
Price Target179.99 (17.63%)
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 | 12.28 | ||
| Fwd PE | 10.4 | ||
| P/S | 0.2 | ||
| P/FCF | 25.95 | ||
| P/OCF | 19.68 | ||
| P/B | 1.47 | ||
| P/tB | 26.97 | ||
| EV/EBITDA | 9.03 |
EPS(TTM)12.46
EY8.14%
EPS(NY)14.71
Fwd EY9.62%
FCF(TTM)5.9
FCFY3.85%
OCF(TTM)7.78
OCFY5.08%
SpS748.69
BVpS103.8
TBVpS5.67
PEG (NY)0.92
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
WACC9.39%
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%.