SCANSOURCE INC (SCSC) Stock Fundamental Analysis

NASDAQ:SCSC • US8060371072

35.23 USD
+0.56 (+1.62%)
Last: Feb 12, 2026, 11:44 AM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to SCSC. SCSC was compared to 123 industry peers in the Electronic Equipment, Instruments & Components industry. SCSC has an excellent financial health rating, but there are some minor concerns on its profitability. SCSC may be a bit undervalued, certainly considering the very reasonable score on growth This makes SCSC very considerable for value investing!


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • In the past year SCSC was profitable.
  • In the past year SCSC had a positive cash flow from operations.
  • In the past 5 years SCSC has always been profitable.
  • The reported operating cash flow has been mixed in the past 5 years: SCSC reported negative operating cash flow in multiple years.
SCSC Yearly Net Income VS EBIT VS OCF VS FCFSCSC 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 100M -100M 200M 300M

1.2 Ratios

  • With a decent Return On Assets value of 4.34%, SCSC is doing good in the industry, outperforming 69.11% of the companies in the same industry.
  • SCSC has a better Return On Equity (8.15%) than 66.67% of its industry peers.
  • The Return On Invested Capital of SCSC (6.46%) is better than 65.04% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for SCSC is below the industry average of 8.99%.
Industry RankSector Rank
ROA 4.34%
ROE 8.15%
ROIC 6.46%
ROA(3y)4.23%
ROA(5y)3.58%
ROE(3y)8.72%
ROE(5y)7.73%
ROIC(3y)6.97%
ROIC(5y)7%
SCSC Yearly ROA, ROE, ROICSCSC Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 -20

1.3 Margins

  • With a decent Profit Margin value of 2.48%, SCSC is doing good in the industry, outperforming 60.98% of the companies in the same industry.
  • In the last couple of years the Profit Margin of SCSC has declined.
  • The Operating Margin of SCSC (3.12%) is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of SCSC has grown nicely.
  • With a Gross Margin value of 13.79%, SCSC is not doing good in the industry: 72.36% of the companies in the same industry are doing better.
  • In the last couple of years the Gross Margin of SCSC has grown nicely.
Industry RankSector Rank
OM 3.12%
PM (TTM) 2.48%
GM 13.79%
OM growth 3Y-4.89%
OM growth 5Y10.34%
PM growth 3Y-2.2%
PM growth 5YN/A
GM growth 3Y3.61%
GM growth 5Y2.87%
SCSC Yearly Profit, Operating, Gross MarginsSCSC Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 -5 10

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ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. Health

2.1 Basic Checks

  • SCSC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • SCSC has less shares outstanding than it did 1 year ago.
  • SCSC has less shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, SCSC has an improved debt to assets ratio.
SCSC Yearly Shares OutstandingSCSC Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5M 10M 15M 20M 25M
SCSC Yearly Total Debt VS Total AssetsSCSC Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B

2.2 Solvency

  • An Altman-Z score of 3.81 indicates that SCSC is not in any danger for bankruptcy at the moment.
  • With a decent Altman-Z score value of 3.81, SCSC is doing good in the industry, outperforming 62.60% of the companies in the same industry.
  • The Debt to FCF ratio of SCSC is 1.62, which is an excellent value as it means it would take SCSC, only 1.62 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of SCSC (1.62) is better than 81.30% of its industry peers.
  • SCSC has a Debt/Equity ratio of 0.14. This is a healthy value indicating a solid balance between debt and equity.
  • SCSC has a Debt to Equity ratio (0.14) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.14
Debt/FCF 1.62
Altman-Z 3.81
ROIC/WACC0.7
WACC9.2%
SCSC Yearly LT Debt VS Equity VS FCFSCSC Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M 400M 600M 800M

2.3 Liquidity

  • SCSC has a Current Ratio of 2.16. This indicates that SCSC is financially healthy and has no problem in meeting its short term obligations.
  • With a Current ratio value of 2.16, SCSC perfoms like the industry average, outperforming 43.09% of the companies in the same industry.
  • A Quick Ratio of 1.32 indicates that SCSC should not have too much problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 1.32, SCSC is doing worse than 61.79% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.16
Quick Ratio 1.32
SCSC Yearly Current Assets VS Current LiabilitesSCSC Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

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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

  • SCSC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.61%, which is quite good.
  • The Earnings Per Share has been growing by 11.73% on average over the past years. This is quite good.
  • The Revenue has decreased by -6.72% in the past year.
  • SCSC shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.05% yearly.
EPS 1Y (TTM)17.61%
EPS 3Y-3.4%
EPS 5Y11.73%
EPS Q2Q%-5.88%
Revenue 1Y (TTM)-6.72%
Revenue growth 3Y-4.85%
Revenue growth 5Y-0.05%
Sales Q2Q%2.54%

3.2 Future

  • The Earnings Per Share is expected to grow by 22.48% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, SCSC will show a small growth in Revenue. The Revenue will grow by 5.09% on average per year.
EPS Next Y20.91%
EPS Next 2Y16.28%
EPS Next 3Y22.48%
EPS Next 5YN/A
Revenue Next Year4.57%
Revenue Next 2Y4.95%
Revenue Next 3Y5.09%
Revenue Next 5YN/A

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
SCSC Yearly Revenue VS EstimatesSCSC Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1B 2B 3B
SCSC Yearly EPS VS EstimatesSCSC Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2 4 6

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Find the best growth stocksShow best growing peers

9

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 9.42 indicates a reasonable valuation of SCSC.
  • 93.50% of the companies in the same industry are more expensive than SCSC, based on the Price/Earnings ratio.
  • Compared to an average S&P500 Price/Earnings ratio of 28.18, SCSC is valued rather cheaply.
  • The Price/Forward Earnings ratio is 7.30, which indicates a rather cheap valuation of SCSC.
  • SCSC's Price/Forward Earnings ratio is rather cheap when compared to the industry. SCSC is cheaper than 95.94% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 28.01. SCSC is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 9.42
Fwd PE 7.3
SCSC Price Earnings VS Forward Price EarningsSCSC Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, SCSC is valued cheaper than 96.75% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, SCSC is valued cheaply inside the industry as 94.31% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 9.18
EV/EBITDA 6.14
SCSC Per share dataSCSC EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80 100

4.3 Compensation for Growth

  • SCSC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • SCSC's earnings are expected to grow with 22.48% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.45
PEG (5Y)0.8
EPS Next 2Y16.28%
EPS Next 3Y22.48%

More info and screens

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

0

5. Dividend

5.1 Amount

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

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Find the best dividend stocksShow peers with best dividend

SCANSOURCE INC

NASDAQ:SCSC (2/12/2026, 11:44:27 AM)

35.23

+0.56 (+1.62%)

Chartmill FA Rating
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)02-05
Earnings (Next)05-06
Inst Owners102.36%
Inst Owner Change1.83%
Ins Owners1.86%
Ins Owner Change12.53%
Market Cap756.74M
Revenue(TTM)3.04B
Net Income(TTM)74.45M
Analysts80
Price Target54.06 (53.45%)
Short Float %2.72%
Short Ratio3.2
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)10.02%
Min EPS beat(2)8.3%
Max EPS beat(2)11.74%
EPS beat(4)3
Avg EPS beat(4)5.19%
Min EPS beat(4)-8.09%
Max EPS beat(4)11.74%
EPS beat(8)4
Avg EPS beat(8)-2.86%
EPS beat(12)6
Avg EPS beat(12)-3.26%
EPS beat(16)9
Avg EPS beat(16)1.4%
Revenue beat(2)1
Avg Revenue beat(2)-2.66%
Min Revenue beat(2)-7.9%
Max Revenue beat(2)2.58%
Revenue beat(4)1
Avg Revenue beat(4)-8.36%
Min Revenue beat(4)-14.59%
Max Revenue beat(4)2.58%
Revenue beat(8)1
Avg Revenue beat(8)-8.78%
Revenue beat(12)3
Avg Revenue beat(12)-5.69%
Revenue beat(16)6
Avg Revenue beat(16)-3.32%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.58%
EPS NY rev (1m)0%
EPS NY rev (3m)3.85%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.55%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.02%
Valuation
Industry RankSector Rank
PE 9.42
Fwd PE 7.3
P/S 0.25
P/FCF 9.18
P/OCF 8.34
P/B 0.83
P/tB 1.21
EV/EBITDA 6.14
EPS(TTM)3.74
EY10.62%
EPS(NY)4.83
Fwd EY13.7%
FCF(TTM)3.84
FCFY10.89%
OCF(TTM)4.22
OCFY11.99%
SpS139.89
BVpS42.55
TBVpS29.07
PEG (NY)0.45
PEG (5Y)0.8
Graham Number59.84
Profitability
Industry RankSector Rank
ROA 4.34%
ROE 8.15%
ROCE 8.44%
ROIC 6.46%
ROICexc 7.28%
ROICexgc 10.3%
OM 3.12%
PM (TTM) 2.48%
GM 13.79%
FCFM 2.74%
ROA(3y)4.23%
ROA(5y)3.58%
ROE(3y)8.72%
ROE(5y)7.73%
ROIC(3y)6.97%
ROIC(5y)7%
ROICexc(3y)7.76%
ROICexc(5y)7.61%
ROICexgc(3y)10.54%
ROICexgc(5y)10.66%
ROCE(3y)9.12%
ROCE(5y)9.15%
ROICexgc growth 3Y-5.14%
ROICexgc growth 5Y7.76%
ROICexc growth 3Y-6.26%
ROICexc growth 5Y9.54%
OM growth 3Y-4.89%
OM growth 5Y10.34%
PM growth 3Y-2.2%
PM growth 5YN/A
GM growth 3Y3.61%
GM growth 5Y2.87%
F-Score7
Asset Turnover1.75
Health
Industry RankSector Rank
Debt/Equity 0.14
Debt/FCF 1.62
Debt/EBITDA 1.03
Cap/Depr 28.72%
Cap/Sales 0.28%
Interest Coverage 250
Cash Conversion 73.94%
Profit Quality 110.71%
Current Ratio 2.16
Quick Ratio 1.32
Altman-Z 3.81
F-Score7
WACC9.2%
ROIC/WACC0.7
Cap/Depr(3y)30.98%
Cap/Depr(5y)24.57%
Cap/Sales(3y)0.27%
Cap/Sales(5y)0.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.61%
EPS 3Y-3.4%
EPS 5Y11.73%
EPS Q2Q%-5.88%
EPS Next Y20.91%
EPS Next 2Y16.28%
EPS Next 3Y22.48%
EPS Next 5YN/A
Revenue 1Y (TTM)-6.72%
Revenue growth 3Y-4.85%
Revenue growth 5Y-0.05%
Sales Q2Q%2.54%
Revenue Next Year4.57%
Revenue Next 2Y4.95%
Revenue Next 3Y5.09%
Revenue Next 5YN/A
EBIT growth 1Y0.53%
EBIT growth 3Y-9.5%
EBIT growth 5Y10.29%
EBIT Next Year37.15%
EBIT Next 3Y18.83%
EBIT Next 5YN/A
FCF growth 1Y-13.87%
FCF growth 3YN/A
FCF growth 5Y-13.9%
OCF growth 1Y-14.57%
OCF growth 3YN/A
OCF growth 5Y-13.07%

SCANSOURCE INC / SCSC FAQ

Can you provide the ChartMill fundamental rating for SCANSOURCE INC?

ChartMill assigns a fundamental rating of 6 / 10 to SCSC.


What is the valuation status of SCANSOURCE INC (SCSC) stock?

ChartMill assigns a valuation rating of 9 / 10 to SCANSOURCE INC (SCSC). This can be considered as Undervalued.


How profitable is SCANSOURCE INC (SCSC) stock?

SCANSOURCE INC (SCSC) has a profitability rating of 5 / 10.


Can you provide the financial health for SCSC stock?

The financial health rating of SCANSOURCE INC (SCSC) is 7 / 10.