company background image
SNX

TD SYNNEXNYSE:SNX Stock Report

Market Cap

US$10.1b

7D

-0.7%

1Y

-27.8%

Updated

22 Oct, 2021

Data

Company Financials +
SNX fundamental analysis
Snowflake Score
Valuation3/6
Future Growth6/6
Past Performance5/6
Financial Health3/6
Dividends1/6

SNX Overview

TD SYNNEX provides business process services in the United States and internationally.

TD SYNNEX Competitors

Price History & Performance

Summary of all time highs, changes and price drops for TD SYNNEX
Historical stock prices
Current Share PriceUS$105.00
52 Week HighUS$75.50
52 Week LowUS$164.74
Beta1.67
1 Month Change-5.65%
3 Month Change-10.34%
1 Year Change-27.78%
3 Year Change35.99%
5 Year Change3.05%
Change since IPO639.44%

Recent News & Updates

Shareholder Returns

SNXUS ElectronicUS Market
7D-0.7%2.6%2.6%
1Y-27.8%35.2%31.1%

Return vs Industry: SNX underperformed the US Electronic industry which returned 36% over the past year.

Return vs Market: SNX underperformed the US Market which returned 31.5% over the past year.

Price Volatility

Is SNX's price volatile compared to industry and market?
SNX volatility
SNX Beta1.67
Industry Beta1.33
Market Beta1

Stable Share Price: SNX is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: SNX's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19809,100Rich Humehttps://www.tdsynnex.com

TD SYNNEX provides business process services in the United States and internationally. The company distributes peripherals; and information technology systems, including system components, software, networking, communications and security equipment, consumer electronics, and complementary products, as well as designs and integrates data center equipment. It also provides systems design and integration solutions, build-to-order, and configure-to-order assembly capabilities; logistics services that comprise outsourced fulfillment, virtual distribution, and direct ship to end-users; cloud services; online services; and financing services comprising net terms, third party leasing, floor plan financing, and letters of credit backed financing and arrangements.

TD SYNNEX Fundamentals Summary

How do TD SYNNEX's earnings and revenue compare to its market cap?
SNX fundamental statistics
Market CapUS$10.13b
Earnings (TTM)US$594.82m
Revenue (TTM)US$26.82b

16.9x

P/E Ratio

0.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SNX income statement (TTM)
RevenueUS$26.82b
Cost of RevenueUS$23.78b
Gross ProfitUS$3.04b
ExpensesUS$2.45b
EarningsUS$594.82m

Last Reported Earnings

Aug 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)6.20
Gross Margin11.35%
Net Profit Margin2.22%
Debt/Equity Ratio175.7%

How did SNX perform over the long term?

See historical performance and comparison

Dividends

0.8%

Current Dividend Yield

5%

Payout Ratio

Valuation

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

16.95x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SNX ($105.49) is trading above our estimate of fair value ($5.47)

Significantly Below Fair Value: SNX is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SNX is good value based on its PE Ratio (17x) compared to the US Electronic industry average (20.7x).

PE vs Market: SNX is good value based on its PE Ratio (17x) compared to the US market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: SNX is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: SNX is overvalued based on its PB Ratio (4.3x) compared to the US Electronic industry average (2.7x).


Future Growth

How is TD SYNNEX forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

40.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SNX's forecast earnings growth (40.9% per year) is above the savings rate (2%).

Earnings vs Market: SNX's earnings (40.9% per year) are forecast to grow faster than the US market (15% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SNX's revenue (40.3% per year) is forecast to grow faster than the US market (9.9% per year).

High Growth Revenue: SNX's revenue (40.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SNX's Return on Equity is forecast to be high in 3 years time (28%)


Past Performance

How has TD SYNNEX performed over the past 5 years?

19.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SNX has high quality earnings.

Growing Profit Margin: SNX's current net profit margins (2.2%) are higher than last year (1.8%).


Past Earnings Growth Analysis

Earnings Trend: SNX's earnings have grown by 19.6% per year over the past 5 years.

Accelerating Growth: SNX's earnings growth over the past year (58.6%) exceeds its 5-year average (19.6% per year).

Earnings vs Industry: SNX earnings growth over the past year (58.6%) exceeded the Electronic industry 44.3%.


Return on Equity

High ROE: Whilst SNX's Return on Equity (25.68%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is TD SYNNEX's financial position?


Financial Position Analysis

Short Term Liabilities: SNX's short term assets ($9.6B) exceed its short term liabilities ($4.0B).

Long Term Liabilities: SNX's short term assets ($9.6B) exceed its long term liabilities ($4.2B).


Debt to Equity History and Analysis

Debt Level: SNX's debt to equity ratio (175.7%) is considered high.

Reducing Debt: SNX's debt to equity ratio has increased from 42.8% to 175.7% over the past 5 years.

Debt Coverage: SNX's debt is not well covered by operating cash flow (13%).

Interest Coverage: SNX's interest payments on its debt are well covered by EBIT (9.2x coverage).


Balance Sheet


Dividend

What is TD SYNNEX current dividend yield, its reliability and sustainability?

0.76%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SNX's dividend (0.76%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.28%).

High Dividend: SNX's dividend (0.76%) is low compared to the top 25% of dividend payers in the US market (3.48%).


Stability and Growth of Payments

Stable Dividend: SNX has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: SNX's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (5.2%), SNX's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SNX's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

2.7yrs

Average management tenure


CEO

Rich Hume (61 yo)

0.083

Tenure

Mr. Richard T. Hume, also known as Rich, serves as Chief Executive Officer & Director of Tech Data Corp. since June 06, 2018. He serves as CEO, President & Director at TD SYNNEX since September 01, 2021. H...


Leadership Team

Experienced Management: SNX's management team is considered experienced (2.7 years average tenure).


Board Members

Experienced Board: SNX's board of directors are not considered experienced ( 0.1 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 86.3%.


Top Shareholders

Company Information

TD SYNNEX's employee growth, exchange listings and data sources


Key Information

  • Name: TD SYNNEX
  • Ticker: SNX
  • Exchange: NYSE
  • Founded: 1980
  • Industry: Technology Distributors
  • Sector: Tech
  • Market Cap: US$10.128b
  • Shares outstanding: 96.01m
  • Website: https://www.tdsynnex.com

Number of Employees


Location

  • TD SYNNEX
  • 44201 Nobel Drive
  • Fremont
  • California
  • 94538
  • 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 22:23
End of Day Share Price2021/10/22 00:00
Earnings2021/08/31
Annual Earnings2020/11/30


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.