TD SYNNEX CORP (SNX) Stock Fundamental Analysis
NYSE:SNX - US87162W1009 - Common Stock
151.7 USD
+2.43 (+1.63%)
151.7 USD
0 (0%)
Taking everything into account, SNX scores 4 out of 10 in our fundamental rating. SNX was compared to 125 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. SNX has a correct valuation and a medium growth rate.
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.
SNX had positive earnings in each of the past 5 years.
SNX had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
SNX's Return On Assets of 2.36% is in line compared to the rest of the industry. SNX outperforms 60.00% of its industry peers.
Looking at the Return On Equity, with a value of 8.62%, SNX is in the better half of the industry, outperforming 72.00% of the companies in the same industry.
With a decent Return On Invested Capital value of 7.50%, SNX is doing good in the industry, outperforming 74.40% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SNX is in line with the industry average of 9.48%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.36% | ||
| ROE | 8.62% | ||
| ROIC | 7.5% |
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
The Profit Margin of SNX (1.20%) is comparable to the rest of the industry.
SNX's Profit Margin has declined in the last couple of years.
SNX has a Operating Margin (2.11%) which is comparable to the rest of the industry.
SNX's Operating Margin has declined in the last couple of years.
The Gross Margin of SNX (6.74%) is worse than 88.00% of its industry peers.
SNX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.11% | ||
| PM (TTM) | 1.2% | ||
| GM | 6.74% |
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.
Compared to 1 year ago, SNX has an improved debt to assets ratio.
2.2 Solvency
SNX has an Altman-Z score of 2.75. 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.
SNX has a worse Altman-Z score (2.75) than 60.80% of its industry peers.
SNX has a debt to FCF ratio of 6.79. This is a slightly negative value and a sign of low solvency as SNX would need 6.79 years to pay back of all of its debts.
SNX has a Debt to FCF ratio (6.79) which is comparable to the rest of the industry.
SNX has a Debt/Equity ratio of 0.45. This is a healthy value indicating a solid balance between debt and equity.
SNX's Debt to Equity ratio of 0.45 is on the low side compared to the rest of the industry. SNX is outperformed by 65.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 6.79 | ||
| Altman-Z | 2.75 |
ROIC/WACC0.77
WACC9.72%
2.3 Liquidity
SNX has a Current Ratio of 1.26. 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 1.26, SNX is doing worse than 84.00% of the companies in the same industry.
SNX has a Quick Ratio of 1.26. 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 0.75 is on the low side compared to the rest of the industry. SNX is outperformed by 88.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.95% over the past year.
The Earnings Per Share has been decreasing by -2.52% on average over the past years.
The Revenue has been growing slightly by 6.60% 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)0.95%
EPS 3Y9.13%
EPS 5Y-2.52%
EPS Q2Q%9.52%
Revenue 1Y (TTM)6.6%
Revenue growth 3Y22.74%
Revenue growth 5Y19.73%
Sales Q2Q%7.16%
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 10.04% on average per year.
SNX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.50% yearly.
EPS Next Y5.14%
EPS Next 2Y8.53%
EPS Next 3Y10.04%
EPS Next 5YN/A
Revenue Next Year4.78%
Revenue Next 2Y4.46%
Revenue Next 3Y4.5%
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.
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 12.92, SNX is valued correctly.
Based on the Price/Earnings ratio, SNX is valued cheaply inside the industry as 96.00% of the companies are valued more expensively.
SNX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.03.
A Price/Forward Earnings ratio of 11.04 indicates a reasonable valuation of SNX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SNX indicates a rather cheap valuation: SNX is cheaper than 96.00% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.54. SNX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.92 | ||
| Fwd PE | 11.04 |
4.2 Price Multiples
89.60% of the companies in the same industry are more expensive than SNX, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SNX indicates a rather cheap valuation: SNX is cheaper than 80.80% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.68 | ||
| EV/EBITDA | 9.5 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)2.52
PEG (5Y)N/A
EPS Next 2Y8.53%
EPS Next 3Y10.04%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.18%, 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 1.48. SNX pays more dividend than 88.80% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.45, SNX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
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 19.79% 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.
DP19.79%
EPS Next 2Y8.53%
EPS Next 3Y10.04%
151.7
+2.43 (+1.63%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners94.91%
Inst Owner Change-0.69%
Ins Owners0.76%
Ins Owner Change0.16%
Market Cap12.51B
Analysts82.35
Price Target159.21 (4.95%)
Short Float %3.42%
Short Ratio3.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
Yearly Dividend1.6
Dividend Growth(5Y)1.3%
DP19.79%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.21%
Min EPS beat(2)-4.6%
Max EPS beat(2)9.03%
EPS beat(4)3
Avg EPS beat(4)1.49%
Min EPS beat(4)-4.6%
Max EPS beat(4)9.03%
EPS beat(8)6
Avg EPS beat(8)4.11%
EPS beat(12)8
Avg EPS beat(12)3.79%
EPS beat(16)12
Avg EPS beat(16)4.09%
Revenue beat(2)1
Avg Revenue beat(2)0.34%
Min Revenue beat(2)-2.72%
Max Revenue beat(2)3.39%
Revenue beat(4)3
Avg Revenue beat(4)1.69%
Min Revenue beat(4)-2.72%
Max Revenue beat(4)3.39%
Revenue beat(8)3
Avg Revenue beat(8)-0.3%
Revenue beat(12)5
Avg Revenue beat(12)-0.66%
Revenue beat(16)7
Avg Revenue beat(16)-4%
PT rev (1m)2.02%
PT rev (3m)15.44%
EPS NQ rev (1m)0.03%
EPS NQ rev (3m)0.85%
EPS NY rev (1m)0.41%
EPS NY rev (3m)2.96%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)0.23%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.92 | ||
| Fwd PE | 11.04 | ||
| P/S | 0.21 | ||
| P/FCF | 20.68 | ||
| P/OCF | 16.19 | ||
| P/B | 1.5 | ||
| P/tB | 27.71 | ||
| EV/EBITDA | 9.5 |
EPS(TTM)11.74
EY7.74%
EPS(NY)13.75
Fwd EY9.06%
FCF(TTM)7.34
FCFY4.84%
OCF(TTM)9.37
OCFY6.18%
SpS727.63
BVpS101.16
TBVpS5.48
PEG (NY)2.52
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.36% | ||
| ROE | 8.62% | ||
| ROCE | 9.44% | ||
| ROIC | 7.5% | ||
| ROICexc | 7.96% | ||
| ROICexgc | 21.24% | ||
| OM | 2.11% | ||
| PM (TTM) | 1.2% | ||
| GM | 6.74% | ||
| FCFM | 1.01% |
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%
ROICexcg growth 3Y14.05%
ROICexcg 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-Score6
Asset Turnover1.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 6.79 | ||
| Debt/EBITDA | 2.23 | ||
| Cap/Depr | 41.58% | ||
| Cap/Sales | 0.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 46.35% | ||
| Profit Quality | 84.1% | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 2.75 |
F-Score6
WACC9.72%
ROIC/WACC0.77
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)0.95%
EPS 3Y9.13%
EPS 5Y-2.52%
EPS Q2Q%9.52%
EPS Next Y5.14%
EPS Next 2Y8.53%
EPS Next 3Y10.04%
EPS Next 5YN/A
Revenue 1Y (TTM)6.6%
Revenue growth 3Y22.74%
Revenue growth 5Y19.73%
Sales Q2Q%7.16%
Revenue Next Year4.78%
Revenue Next 2Y4.46%
Revenue Next 3Y4.5%
Revenue Next 5YN/A
EBIT growth 1Y-1.36%
EBIT growth 3Y19.84%
EBIT growth 5Y7.42%
EBIT Next Year13.37%
EBIT Next 3Y8.94%
EBIT Next 5YN/A
FCF growth 1Y-13.76%
FCF growth 3Y11.36%
FCF growth 5Y20.38%
OCF growth 1Y-7.95%
OCF growth 3Y14.57%
OCF growth 5Y17.23%