Arrow Electronics Inc. (NYSE:ARW) saw a downside of -0.44% to close Friday at $128.78 after subtracting -$0.57 on the day. The 5-day average trading volume is 439,300 shares of the company’s common stock. It has gained $132.82 in the past week and touched a new high 3 times within the past 5 days. An average of 386,885 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 435,050.
ARW’s 1-month performance is -9.00% or -$16.35 on its low of $124.41 reached on 08/08/23. The company’s shares have touched a 52-week low of $89.38 and high of $147.42, with the stock’s rally to the 52-week high happening on 07/12/23. YTD, ARW has achieved 23.15% or $24.21 and has reached a new high 25 times. However, the current price is down -12.64% from the 52-week high price.
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Insider Transactions
ARW stock investors last saw insider trading activity on May 30.HAMILTON GAIL (Director) most recently sold 1,419 shares at $127.81 per share on May 30. This transaction cost the insider $181,362. President, Global Components, Schell Kirk, sold 4,130 shares at a price of $126.03 on May 25. Then, on May 25, SVP, Chief Gov, Sust, HR Offr Zech Gretchen sold 4,000 shares at a price of $126.26 per share. This transaction amounted to $505,040.
Valuation Metrics
ARW stock has a beta of 1.42. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 0.20 while the price-to-book (PB) in the most recent quarter is 1.31, with the price to cash flow ratio at 26.96.
Arrow Electronics Inc.’s quick ratio for the period ended June 29 was 1.10, with the current ratio over the same period at 1.60. As well, the company’s long term debt to equity for the quarter ending June 29 was 0.66, while the total debt to equity was 0.74. In terms of profitability, the gross margin trailing 12 months is 12.80%. The trailing 12-month EBITDA margin is 6.11% while for the period ending June 29, Arrow Electronics Inc.’s operating margin was 5.10%. The firm’s gross profit as reported stood at $4.84 billion against revenue of $37.12 billion.
Earnings Surprise
For the quarterly period ending June 29 this year, Net income and sales went down compared to those figures reported in the previous quarter. Net income shrunk -56.55% to $236.56 million, while revenue of $273.75 million was -15.72% off the previous quarter. Analysts expected ARW to announce $4.34 per share in earnings in its latest quarter, but it posted $4.37, representing a 0.70% surprise. EBITDA for the quarter stood at more than $447.37 million. ARW stock balance sheet for the quarter ending June 29 shows that total liabilities totaled 14.88 billion, with total debt at $4.16 billion. Shareholders hold equity totaling $55.66 million.
Let’s look briefly at Arrow Electronics Inc. (ARW) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 18 August was 37.36% to suggest the stock is trending Neutral, with historical volatility in this time period at 11.12%.
The stock’s 5-day moving average is $128.89, reflecting a +0.59% or $0.75 change from its current price. ARW is currently trading -7.64% above its 20-day SMA, +8.40% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by -3.79% and SMA200 by+27.18%.
Stochastic %K and %D was 23.98% and 23.41% and the average true range (ATR) pointed at 2.84. The RSI (14) points at 37.93%, while the 14-day stochastic is at 22.99% with the period’s ATR at 2.88. The stock’s 9-day MACD Oscillator is pointing at 0.86 and -0.83 on the 14-day charts.
Analyst Ratings
In the most recent analyst report for Arrow Electronics Inc. (NYSE: ARW), Wells Fargo downgraded it to an Underweight rating. They previously had an Equal weight rating on the stock. Analysts offering their rating for ARW stock have a consensus rating for the stock as Hold. Currently, 1 brokerage advisors rate ARW as a “sell,”, while 5 advise that investors “Hold.” 0 analysts have rated the stock as underweight. 1 rates the stock as overweight while 0 have offered a “buy” rating.
What is ARW’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $100.00 and a high of $150.00, with their median price target at $132.00. Looking at these predictions, the average price target given by analysts is for Arrow Electronics Inc. (ARW) stock is $131.17.
