TD SYNNEX (NYSE:SNX) Hits New 52-Week High – Still a Buy?

TD SYNNEX Corporation (NYSE:SNX)’s stock price hit a new 52-week high on Tuesday . The stock traded as high as $234.99 and last traded at $233.5130, with a volume of 78685 shares changing hands. The stock had previously closed at $227.84.

Wall Street Analysts Forecast Growth

A number of analysts have commented on SNX shares. The Goldman Sachs Group raised their price objective on TD SYNNEX from $180.00 to $205.00 and gave the stock a “buy” rating in a research report on Thursday, April 2nd. Wall Street Zen upgraded TD SYNNEX from a “hold” rating to a “buy” rating in a research report on Saturday, February 21st. Barclays raised their price objective on TD SYNNEX from $163.00 to $166.00 and gave the stock an “equal weight” rating in a research report on Wednesday, April 1st. Morgan Stanley raised their price objective on TD SYNNEX from $172.00 to $174.00 and gave the stock an “overweight” rating in a research report on Friday, March 20th. Finally, JPMorgan Chase & Co. raised their price objective on TD SYNNEX from $185.00 to $220.00 and gave the stock a “neutral” rating in a research report on Thursday, April 16th. One research analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, TD SYNNEX has an average rating of “Moderate Buy” and a consensus price target of $197.70.

TD SYNNEX Stock Performance

The company has a current ratio of 1.22, a quick ratio of 0.71 and a debt-to-equity ratio of 0.41. The stock has a fifty day moving average price of $184.68 and a 200-day moving average price of $165.10. The firm has a market capitalization of $18.68 billion, a price-to-earnings ratio of 19.32, a PEG ratio of 1.02 and a beta of 1.40.

TD SYNNEX (NYSE:SNX) last released its quarterly earnings results on Tuesday, March 31st. The business services provider reported $4.73 earnings per share for the quarter, beating analysts’ consensus estimates of $3.24 by $1.49. TD SYNNEX had a return on equity of 14.03% and a net margin of 1.52%.The firm had revenue of $17.16 billion during the quarter, compared to analysts’ expectations of $15.59 billion. During the same period last year, the firm posted $2.80 EPS. The business’s revenue was up 18.1% on a year-over-year basis. As a group, analysts anticipate that TD SYNNEX Corporation will post 15.69 earnings per share for the current fiscal year.

TD SYNNEX Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 29th. Investors of record on Wednesday, April 15th were issued a dividend of $0.48 per share. This represents a $1.92 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date of this dividend was Wednesday, April 15th. TD SYNNEX’s dividend payout ratio (DPR) is currently 15.96%.

Insider Activity

In related news, CFO David Gregory Jordan sold 3,225 shares of the firm’s stock in a transaction on Monday, April 6th. The stock was sold at an average price of $189.46, for a total transaction of $611,008.50. Following the completion of the sale, the chief financial officer directly owned 14,035 shares of the company’s stock, valued at $2,659,071.10. This trade represents a 18.68% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Richard T. Hume sold 5,000 shares of TD SYNNEX stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $233.85, for a total value of $1,169,250.00. Following the completion of the sale, the director directly owned 33,537 shares of the company’s stock, valued at $7,842,627.45. This trade represents a 12.97% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 25,317 shares of company stock worth $4,796,849. 0.70% of the stock is currently owned by insiders.

Institutional Investors Weigh In On TD SYNNEX

Several hedge funds and other institutional investors have recently made changes to their positions in SNX. Dorato Capital Management acquired a new stake in shares of TD SYNNEX in the 4th quarter valued at $27,000. Ossiam increased its stake in shares of TD SYNNEX by 84.3% in the 3rd quarter. Ossiam now owns 164 shares of the business services provider’s stock valued at $27,000 after buying an additional 75 shares during the period. Aster Capital Management DIFC Ltd acquired a new stake in shares of TD SYNNEX in the 4th quarter valued at $28,000. Measured Wealth Private Client Group LLC acquired a new stake in shares of TD SYNNEX in the 3rd quarter valued at $30,000. Finally, Lloyd Advisory Services LLC. acquired a new stake in shares of TD SYNNEX in the 4th quarter valued at $32,000. 84.00% of the stock is owned by institutional investors and hedge funds.

About TD SYNNEX

TD SYNNEX (NYSE: SNX) is a leading global distributor and solutions aggregator for the information technology industry. Formed in September 2021 through the merger of Tech Data and SYNNEX Corporation, the company provides a comprehensive range of products, services and solutions that span hardware, software, cloud, mobility, security and data center technologies. TD SYNNEX partners with vendors, resellers and system integrators to design, deploy and support IT infrastructures across diverse market segments, including commercial enterprises, public sector organizations and retail operations.

The company’s core business activities include the distribution of technology products from manufacturers such as servers, storage, networking equipment and peripherals, as well as the resale and provisioning of software licenses and cloud-based solutions.