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AVT

AvnetNasdaqGS:AVT Stock Report

Market Cap

US$3.8b

7D

1.0%

1Y

36.5%

Updated

22 Oct, 2021

Data

Company Financials +
AVT fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance1/6
Financial Health5/6
Dividends3/6

AVT Overview

Avnet, Inc., a technology solutions company, markets, sells, and distributes electronic components.

Avnet Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Avnet
Historical stock prices
Current Share PriceUS$37.84
52 Week HighUS$24.30
52 Week LowUS$45.43
Beta1.53
1 Month Change2.77%
3 Month Change-5.38%
1 Year Change36.51%
3 Year Change1.45%
5 Year Change-9.00%
Change since IPO138.36%

Recent News & Updates

Aug 10
A Look At The Intrinsic Value Of Avnet, Inc. (NASDAQ:AVT)

A Look At The Intrinsic Value Of Avnet, Inc. (NASDAQ:AVT)

In this article we are going to estimate the intrinsic value of Avnet, Inc. ( NASDAQ:AVT ) by taking the expected...

Jul 16
Should You Think About Buying Avnet, Inc. (NASDAQ:AVT) Now?

Should You Think About Buying Avnet, Inc. (NASDAQ:AVT) Now?

Avnet, Inc. ( NASDAQ:AVT ), might not be a large cap stock, but it received a lot of attention from a substantial price...

Jun 24
We Think Avnet (NASDAQ:AVT) Can Stay On Top Of Its Debt

We Think Avnet (NASDAQ:AVT) Can Stay On Top Of Its Debt

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Shareholder Returns

AVTUS ElectronicUS Market
7D1.0%1.6%1.7%
1Y36.5%33.6%30.3%

Return vs Industry: AVT exceeded the US Electronic industry which returned 35.2% over the past year.

Return vs Market: AVT exceeded the US Market which returned 31.1% over the past year.

Price Volatility

Is AVT's price volatile compared to industry and market?
AVT volatility
AVT Beta1.53
Industry Beta1.33
Market Beta1

Stable Share Price: AVT is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: AVT's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
192114,500Phil Gallagherhttps://www.avnet.com

Avnet, Inc., a technology solutions company, markets, sells, and distributes electronic components. The company operates through two segments, Electronic Components and Farnell. The Electronic Components segment markets, sells, and distributes semiconductors; interconnect, passive, and electromechanical devices; and other integrated components from electronic component manufacturers.

Avnet Fundamentals Summary

How do Avnet's earnings and revenue compare to its market cap?
AVT fundamental statistics
Market CapUS$3.76b
Earnings (TTM)US$193.11m
Revenue (TTM)US$19.53b

19.5x

P/E Ratio

0.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AVT income statement (TTM)
RevenueUS$19.53b
Cost of RevenueUS$17.29b
Gross ProfitUS$2.24b
ExpensesUS$2.05b
EarningsUS$193.11m

Last Reported Earnings

Jul 03, 2021

Next Earnings Date

Oct 28, 2021

Earnings per share (EPS)1.94
Gross Margin11.47%
Net Profit Margin0.99%
Debt/Equity Ratio29.7%

How did AVT perform over the long term?

See historical performance and comparison

Dividends

2.5%

Current Dividend Yield

44%

Payout Ratio

Valuation

Is Avnet undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AVT ($37.84) is trading below our estimate of fair value ($76.99)

Significantly Below Fair Value: AVT is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AVT is good value based on its PE Ratio (19.5x) compared to the US Electronic industry average (20.6x).

PE vs Market: AVT is poor value based on its PE Ratio (19.5x) compared to the US market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: AVT is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: AVT is good value based on its PB Ratio (0.9x) compared to the US Electronic industry average (2.7x).


Future Growth

How is Avnet forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

15.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AVT's forecast earnings growth (15.1% per year) is above the savings rate (2%).

Earnings vs Market: AVT's earnings (15.1% per year) are forecast to grow faster than the US market (15.1% per year).

High Growth Earnings: AVT's earnings are forecast to grow, but not significantly.

Revenue vs Market: AVT's revenue (3.2% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: AVT's revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AVT's Return on Equity is forecast to be low in 3 years time (8.6%).


Past Performance

How has Avnet performed over the past 5 years?

-31.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AVT has a large one-off loss of $99.6M impacting its July 3 2021 financial results.

Growing Profit Margin: AVT became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: AVT's earnings have declined by 31.5% per year over the past 5 years.

Accelerating Growth: AVT has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: AVT has become profitable in the last year, making it difficult to compare its past year earnings growth to the Electronic industry (44.3%).


Return on Equity

High ROE: AVT's Return on Equity (4.7%) is considered low.


Financial Health

How is Avnet's financial position?


Financial Position Analysis

Short Term Liabilities: AVT's short term assets ($7.2B) exceed its short term liabilities ($3.1B).

Long Term Liabilities: AVT's short term assets ($7.2B) exceed its long term liabilities ($1.8B).


Debt to Equity History and Analysis

Debt Level: AVT's debt to equity ratio (29.7%) is considered satisfactory.

Reducing Debt: AVT's debt to equity ratio has reduced from 53.2% to 29.7% over the past 5 years.

Debt Coverage: AVT's debt is not well covered by operating cash flow (7.5%).

Interest Coverage: AVT's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet


Dividend

What is Avnet current dividend yield, its reliability and sustainability?

2.54%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AVT's dividend (2.54%) is higher than the bottom 25% of dividend payers in the US market (1.27%).

High Dividend: AVT's dividend (2.54%) is low compared to the top 25% of dividend payers in the US market (3.49%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, AVT has been paying a dividend for less than 10 years.

Growing Dividend: AVT's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (43.7%), AVT's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AVT's dividends in 3 years are forecast to be well covered by earnings (22.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.7yrs

Average management tenure


CEO

Phil Gallagher (60 yo)

1.25yrs

Tenure

US$6,151,987

Compensation

Mr. Philip R. Gallagher, also known as Phil, has been the Chief Executive Officer of Avnet, Inc. since November 23, 2020 and serves as its Director Since November 2020. He serves as Member of Executive Boa...


CEO Compensation Analysis

Compensation vs Market: Phil's total compensation ($USD6.15M) is about average for companies of similar size in the US market ($USD5.16M).

Compensation vs Earnings: Phil's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: AVT's management team is considered experienced (3.7 years average tenure).


Board Members

Experienced Board: AVT's board of directors are considered experienced (3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: AVT insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Avnet, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Avnet, Inc.
  • Ticker: AVT
  • Exchange: NasdaqGS
  • Founded: 1921
  • Industry: Technology Distributors
  • Sector: Tech
  • Market Cap: US$3.764b
  • Shares outstanding: 99.48m
  • Website: https://www.avnet.com

Number of Employees


Location

  • Avnet, Inc.
  • 2211 South 47th Street
  • Phoenix
  • Arizona
  • 85034
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/22 22:55
End of Day Share Price2021/10/22 00:00
Earnings2021/07/03
Annual Earnings2021/07/03


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.