ARROW ELECTRONICS INC (ARW) Stock Fundamental Analysis

NYSE:ARW • US0427351004

152.64 USD
-3.55 (-2.27%)
Last: Feb 17, 2026, 03:39 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

ARW gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 122 industry peers in the Electronic Equipment, Instruments & Components industry. ARW has a medium profitability rating, but doesn't score so well on its financial health evaluation. ARW is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • In the past year ARW was profitable.
  • ARW had a positive operating cash flow in the past year.
  • ARW had positive earnings in each of the past 5 years.
  • Of the past 5 years ARW 4 years had a positive operating cash flow.
ARW Yearly Net Income VS EBIT VS OCF VS FCFARW Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B 1.5B 2B

1.2 Ratios

  • ARW has a Return On Assets of 1.96%. This is comparable to the rest of the industry: ARW outperforms 59.02% of its industry peers.
  • ARW has a Return On Equity of 8.68%. This is in the better half of the industry: ARW outperforms 68.85% of its industry peers.
  • ARW has a Return On Invested Capital of 7.27%. This is in the better half of the industry: ARW outperforms 72.95% of its industry peers.
  • ARW had an Average Return On Invested Capital over the past 3 years of 9.31%. This is in line with the industry average of 8.95%.
Industry RankSector Rank
ROA 1.96%
ROE 8.68%
ROIC 7.27%
ROA(3y)2.64%
ROA(5y)4.03%
ROE(3y)10.35%
ROE(5y)15.55%
ROIC(3y)9.31%
ROIC(5y)12.06%
ARW Yearly ROA, ROE, ROICARW Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 10 15 20 25

1.3 Margins

  • With a Profit Margin value of 1.85%, ARW perfoms like the industry average, outperforming 56.56% of the companies in the same industry.
  • ARW's Profit Margin has declined in the last couple of years.
  • ARW has a Operating Margin (3.04%) which is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of ARW has remained more or less at the same level.
  • The Gross Margin of ARW (11.24%) is worse than 77.05% of its industry peers.
  • ARW's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 3.04%
PM (TTM) 1.85%
GM 11.24%
OM growth 3Y-18.45%
OM growth 5Y-0.96%
PM growth 3Y-21.61%
PM growth 5Y-1.89%
GM growth 3Y-4.82%
GM growth 5Y0.19%
ARW Yearly Profit, Operating, Gross MarginsARW Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 10

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ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ARW is creating some value.
  • ARW has less shares outstanding than it did 1 year ago.
  • ARW has less shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, ARW has an improved debt to assets ratio.
ARW Yearly Shares OutstandingARW Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M
ARW Yearly Total Debt VS Total AssetsARW Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

2.2 Solvency

  • ARW has an Altman-Z score of 1.98. This is not the best score and indicates that ARW is in the grey zone with still only limited risk for bankruptcy at the moment.
  • ARW has a Altman-Z score of 1.98. This is in the lower half of the industry: ARW underperforms 63.11% of its industry peers.
  • A Debt/Equity ratio of 0.47 indicates that ARW is not too dependend on debt financing.
  • The Debt to Equity ratio of ARW (0.47) is worse than 68.03% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.47
Debt/FCF N/A
Altman-Z 1.98
ROIC/WACC0.8
WACC9.06%
ARW Yearly LT Debt VS Equity VS FCFARW Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 1.36 indicates that ARW should not have too much problems paying its short term obligations.
  • ARW has a Current ratio of 1.36. This is in the lower half of the industry: ARW underperforms 77.87% of its industry peers.
  • ARW has a Quick Ratio of 1.09. This is a normal value and indicates that ARW is financially healthy and should not expect problems in meeting its short term obligations.
  • The Quick ratio of ARW (1.09) is worse than 72.95% of its industry peers.
Industry RankSector Rank
Current Ratio 1.36
Quick Ratio 1.09
ARW Yearly Current Assets VS Current LiabilitesARW Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The Earnings Per Share has been growing slightly by 7.61% over the past year.
  • ARW shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.15% yearly.
  • The Revenue has grown by 10.49% in the past year. This is quite good.
  • ARW shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.48% yearly.
EPS 1Y (TTM)7.61%
EPS 3Y-20.97%
EPS 5Y7.15%
EPS Q2Q%47.81%
Revenue 1Y (TTM)10.49%
Revenue growth 3Y-5.98%
Revenue growth 5Y1.48%
Sales Q2Q%20.1%

3.2 Future

  • Based on estimates for the next years, ARW will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.16% on average per year.
  • The Revenue is expected to grow by 4.20% on average over the next years.
EPS Next Y8.22%
EPS Next 2Y12.55%
EPS Next 3Y12.16%
EPS Next 5YN/A
Revenue Next Year4.28%
Revenue Next 2Y4.79%
Revenue Next 3Y4.2%
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 accelerating: in the next years the growth will be better than in the last years.
ARW Yearly Revenue VS EstimatesARW Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 10B 20B 30B
ARW Yearly EPS VS EstimatesARW Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 5 10 15 20

More info and screens

Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 13.84, ARW is valued correctly.
  • 87.70% of the companies in the same industry are more expensive than ARW, based on the Price/Earnings ratio.
  • The average S&P500 Price/Earnings ratio is at 27.19. ARW is valued slightly cheaper when compared to this.
  • Based on the Price/Forward Earnings ratio of 12.79, the valuation of ARW can be described as correct.
  • ARW's Price/Forward Earnings ratio is rather cheap when compared to the industry. ARW is cheaper than 88.52% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.06, ARW is valued rather cheaply.
Industry RankSector Rank
PE 13.84
Fwd PE 12.79
ARW Price Earnings VS Forward Price EarningsARW Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ARW indicates a rather cheap valuation: ARW is cheaper than 89.34% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 9.99
ARW Per share dataARW EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 200 400 600

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • A more expensive valuation may be justified as ARW's earnings are expected to grow with 12.16% in the coming years.
PEG (NY)1.68
PEG (5Y)1.94
EPS Next 2Y12.55%
EPS Next 3Y12.16%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • No dividends for ARW!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

ARROW ELECTRONICS INC

NYSE:ARW (2/17/2026, 3:39:42 PM)

152.64

-3.55 (-2.27%)

Chartmill FA Rating
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)02-05
Earnings (Next)04-29
Inst Owners110.26%
Inst Owner Change1.28%
Ins Owners0.38%
Ins Owner Change5.25%
Market Cap7.80B
Revenue(TTM)30.85B
Net Income(TTM)571.27M
Analysts47.14
Price Target107.74 (-29.42%)
Short Float %5.91%
Short Ratio5.01
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.68%
Min EPS beat(2)3.46%
Max EPS beat(2)21.91%
EPS beat(4)4
Avg EPS beat(4)16.41%
Min EPS beat(4)3.46%
Max EPS beat(4)24.28%
EPS beat(8)8
Avg EPS beat(8)12.34%
EPS beat(12)11
Avg EPS beat(12)10.2%
EPS beat(16)14
Avg EPS beat(16)8.82%
Revenue beat(2)1
Avg Revenue beat(2)2.79%
Min Revenue beat(2)-0.56%
Max Revenue beat(2)6.15%
Revenue beat(4)3
Avg Revenue beat(4)4.28%
Min Revenue beat(4)-0.56%
Max Revenue beat(4)6.75%
Revenue beat(8)6
Avg Revenue beat(8)2.7%
Revenue beat(12)7
Avg Revenue beat(12)1.32%
Revenue beat(16)8
Avg Revenue beat(16)1.04%
PT rev (1m)0%
PT rev (3m)-6.81%
EPS NQ rev (1m)23.02%
EPS NQ rev (3m)15.76%
EPS NY rev (1m)0%
EPS NY rev (3m)-13.04%
Revenue NQ rev (1m)10.54%
Revenue NQ rev (3m)10.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.17%
Valuation
Industry RankSector Rank
PE 13.84
Fwd PE 12.79
P/S 0.25
P/FCF N/A
P/OCF 121.71
P/B 1.18
P/tB 1.78
EV/EBITDA 9.99
EPS(TTM)11.03
EY7.23%
EPS(NY)11.94
Fwd EY7.82%
FCF(TTM)-0.73
FCFYN/A
OCF(TTM)1.25
OCFY0.82%
SpS604.13
BVpS128.94
TBVpS85.91
PEG (NY)1.68
PEG (5Y)1.94
Graham Number178.88
Profitability
Industry RankSector Rank
ROA 1.96%
ROE 8.68%
ROCE 9.17%
ROIC 7.27%
ROICexc 7.5%
ROICexgc 9.63%
OM 3.04%
PM (TTM) 1.85%
GM 11.24%
FCFM N/A
ROA(3y)2.64%
ROA(5y)4.03%
ROE(3y)10.35%
ROE(5y)15.55%
ROIC(3y)9.31%
ROIC(5y)12.06%
ROICexc(3y)9.54%
ROICexc(5y)12.34%
ROICexgc(3y)12.4%
ROICexgc(5y)16.35%
ROCE(3y)12.46%
ROCE(5y)15.75%
ROICexgc growth 3Y-25.05%
ROICexgc growth 5Y-7.05%
ROICexc growth 3Y-24.69%
ROICexc growth 5Y-4.78%
OM growth 3Y-18.45%
OM growth 5Y-0.96%
PM growth 3Y-21.61%
PM growth 5Y-1.89%
GM growth 3Y-4.82%
GM growth 5Y0.19%
F-Score5
Asset Turnover1.06
Health
Industry RankSector Rank
Debt/Equity 0.47
Debt/FCF N/A
Debt/EBITDA 2.87
Cap/Depr 73.51%
Cap/Sales 0.33%
Interest Coverage 250
Cash Conversion 5.95%
Profit Quality N/A
Current Ratio 1.36
Quick Ratio 1.09
Altman-Z 1.98
F-Score5
WACC9.06%
ROIC/WACC0.8
Cap/Depr(3y)58.79%
Cap/Depr(5y)52.2%
Cap/Sales(3y)0.3%
Cap/Sales(5y)0.27%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.61%
EPS 3Y-20.97%
EPS 5Y7.15%
EPS Q2Q%47.81%
EPS Next Y8.22%
EPS Next 2Y12.55%
EPS Next 3Y12.16%
EPS Next 5YN/A
Revenue 1Y (TTM)10.49%
Revenue growth 3Y-5.98%
Revenue growth 5Y1.48%
Sales Q2Q%20.1%
Revenue Next Year4.28%
Revenue Next 2Y4.79%
Revenue Next 3Y4.2%
Revenue Next 5YN/A
EBIT growth 1Y3.01%
EBIT growth 3Y-23.33%
EBIT growth 5Y0.51%
EBIT Next Year27.21%
EBIT Next 3Y14.43%
EBIT Next 5YN/A
FCF growth 1Y-103.58%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-94.33%
OCF growth 3YN/A
OCF growth 5Y-45.72%

ARROW ELECTRONICS INC / ARW FAQ

What is the fundamental rating for ARW stock?

ChartMill assigns a fundamental rating of 4 / 10 to ARW.


What is the valuation status for ARW stock?

ChartMill assigns a valuation rating of 5 / 10 to ARROW ELECTRONICS INC (ARW). This can be considered as Fairly Valued.


Can you provide the profitability details for ARROW ELECTRONICS INC?

ARROW ELECTRONICS INC (ARW) has a profitability rating of 4 / 10.


Can you provide the PE and PB ratios for ARW stock?

The Price/Earnings (PE) ratio for ARROW ELECTRONICS INC (ARW) is 13.84 and the Price/Book (PB) ratio is 1.18.