TD SYNNEX CORP (SNX) Stock Fundamental Analysis
USA - NYSE:SNX - US87162W1009 - Common Stock
154.96 USD
+1.54 (+1%)
154.96 USD
0 (0%)
Taking everything into account, SNX scores 4 out of 10 in our fundamental rating. SNX was compared to 123 industry peers in the Electronic Equipment, Instruments & Components industry. While SNX is still in line with the averages on profitability rating, there are concerns on its financial health. SNX has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SNX had positive earnings in the past year.
In the past year SNX had a positive cash flow from operations.
Each year in the past 5 years SNX has been profitable.
Of the past 5 years SNX 4 years had a positive operating cash flow.
1.2 Ratios
SNX's Return On Assets of 2.42% is in line compared to the rest of the industry. SNX outperforms 58.54% of its industry peers.
SNX has a better Return On Equity (9.08%) than 70.73% of its industry peers.
SNX's Return On Invested Capital of 8.36% is fine compared to the rest of the industry. SNX outperforms 78.05% of its industry peers.
SNX had an Average Return On Invested Capital over the past 3 years of 7.79%. This is in line with the industry average of 9.33%.
The 3 year average ROIC (7.79%) for SNX is below the current ROIC(8.36%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.42% | ||
| ROE | 9.08% | ||
| ROIC | 8.36% |
ROA(3y)2.18%
ROA(5y)2.37%
ROE(3y)8.05%
ROE(5y)8.23%
ROIC(3y)7.79%
ROIC(5y)7.32%
1.3 Margins
SNX has a Profit Margin of 1.26%. This is comparable to the rest of the industry: SNX outperforms 52.85% of its industry peers.
SNX's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 2.21%, SNX perfoms like the industry average, outperforming 51.22% of the companies in the same industry.
SNX's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 6.91%, SNX is doing worse than 86.18% of the companies in the same industry.
SNX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.21% | ||
| PM (TTM) | 1.26% | ||
| GM | 6.91% |
OM growth 3Y-2.36%
OM growth 5Y-10.29%
PM growth 3Y-1.88%
PM growth 5Y-10.96%
GM growth 3Y4.45%
GM growth 5Y-11%
2. Health
2.1 Basic Checks
SNX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, SNX has less shares outstanding
The number of shares outstanding for SNX has been increased compared to 5 years ago.
The debt/assets ratio for SNX has been reduced compared to a year ago.
2.2 Solvency
SNX has an Altman-Z score of 2.67. This is not the best score and indicates that SNX is in the grey zone with still only limited risk for bankruptcy at the moment.
SNX has a Altman-Z score of 2.67. This is in the lower half of the industry: SNX underperforms 65.04% of its industry peers.
SNX has a debt to FCF ratio of 8.83. This is a slightly negative value and a sign of low solvency as SNX would need 8.83 years to pay back of all of its debts.
The Debt to FCF ratio of SNX (8.83) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.36 indicates that SNX is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.36, SNX is doing worse than 61.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 8.83 | ||
| Altman-Z | 2.67 |
ROIC/WACC0.87
WACC9.57%
2.3 Liquidity
A Current Ratio of 1.20 indicates that SNX should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.20, SNX is doing worse than 86.18% of the companies in the same industry.
SNX has a Quick Ratio of 1.20. This is a bad value and indicates that SNX is not financially healthy enough and could expect problems in meeting its short term obligations.
SNX has a worse Quick ratio (0.71) than 91.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
SNX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.40%.
SNX shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.52% yearly.
Looking at the last year, SNX shows a small growth in Revenue. The Revenue has grown by 6.94% in the last year.
Measured over the past years, SNX shows a quite strong growth in Revenue. The Revenue has been growing by 19.73% on average per year.
EPS 1Y (TTM)6.4%
EPS 3Y9.13%
EPS 5Y-2.52%
EPS Q2Q%25.17%
Revenue 1Y (TTM)6.94%
Revenue growth 3Y22.74%
Revenue growth 5Y19.73%
Sales Q2Q%6.58%
3.2 Future
Based on estimates for the next years, SNX will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.31% on average per year.
SNX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.38% yearly.
EPS Next Y5.26%
EPS Next 2Y8.72%
EPS Next 3Y10.31%
EPS Next 5YN/A
Revenue Next Year7.31%
Revenue Next 2Y5.96%
Revenue Next 3Y5.38%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.44 indicates a correct valuation of SNX.
Compared to the rest of the industry, the Price/Earnings ratio of SNX indicates a rather cheap valuation: SNX is cheaper than 94.31% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.91, SNX is valued rather cheaply.
A Price/Forward Earnings ratio of 11.23 indicates a reasonable valuation of SNX.
SNX's Price/Forward Earnings ratio is rather cheap when compared to the industry. SNX is cheaper than 94.31% of the companies in the same industry.
SNX is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.44 | ||
| Fwd PE | 11.23 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SNX indicates a rather cheap valuation: SNX is cheaper than 90.24% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, SNX is valued a bit cheaper than the industry average as 75.61% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.28 | ||
| EV/EBITDA | 9.02 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SNX does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.36
PEG (5Y)N/A
EPS Next 2Y8.72%
EPS Next 3Y10.31%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.14%, SNX has a reasonable but not impressive dividend return.
SNX's Dividend Yield is rather good when compared to the industry average which is at 2.06. SNX pays more dividend than 87.80% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, SNX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.14% |
5.2 History
The dividend of SNX has a limited annual growth rate of 1.30%.
SNX has paid a dividend for at least 10 years, which is a reliable track record.
SNX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.3%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
SNX pays out 18.83% of its income as dividend. This is a sustainable payout ratio.
The dividend of SNX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP18.83%
EPS Next 2Y8.72%
EPS Next 3Y10.31%
154.96
+1.54 (+1%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners93.62%
Inst Owner Change-0.61%
Ins Owners0.73%
Ins Owner Change0.54%
Market Cap12.62B
Revenue(TTM)60.97B
Net Income(TTM)767.18M
Analysts82.35
Price Target170.8 (10.22%)
Short Float %3.06%
Short Ratio3.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.14% |
Yearly Dividend1.6
Dividend Growth(5Y)1.3%
DP18.83%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.7%
Min EPS beat(2)9.03%
Max EPS beat(2)16.37%
EPS beat(4)3
Avg EPS beat(4)5.29%
Min EPS beat(4)-4.6%
Max EPS beat(4)16.37%
EPS beat(8)6
Avg EPS beat(8)4.76%
EPS beat(12)9
Avg EPS beat(12)5.21%
EPS beat(16)12
Avg EPS beat(16)4.97%
Revenue beat(2)2
Avg Revenue beat(2)2.97%
Min Revenue beat(2)2.55%
Max Revenue beat(2)3.39%
Revenue beat(4)3
Avg Revenue beat(4)1.57%
Min Revenue beat(4)-2.72%
Max Revenue beat(4)3.39%
Revenue beat(8)4
Avg Revenue beat(8)0.27%
Revenue beat(12)5
Avg Revenue beat(12)-0.55%
Revenue beat(16)8
Avg Revenue beat(16)0.14%
PT rev (1m)7.28%
PT rev (3m)9.45%
EPS NQ rev (1m)12.07%
EPS NQ rev (3m)12.32%
EPS NY rev (1m)0.12%
EPS NY rev (3m)0.53%
Revenue NQ rev (1m)5.91%
Revenue NQ rev (3m)5.73%
Revenue NY rev (1m)2.45%
Revenue NY rev (3m)2.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.44 | ||
| Fwd PE | 11.23 | ||
| P/S | 0.21 | ||
| P/FCF | 26.28 | ||
| P/OCF | 19.93 | ||
| P/B | 1.49 | ||
| P/tB | 27.31 | ||
| EV/EBITDA | 9.02 |
EPS(TTM)12.46
EY8.04%
EPS(NY)13.79
Fwd EY8.9%
FCF(TTM)5.9
FCFY3.81%
OCF(TTM)7.78
OCFY5.02%
SpS748.69
BVpS103.8
TBVpS5.67
PEG (NY)2.36
PEG (5Y)N/A
Graham Number170.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.42% | ||
| ROE | 9.08% | ||
| ROCE | 10.52% | ||
| ROIC | 8.36% | ||
| ROICexc | 8.97% | ||
| ROICexgc | 27.18% | ||
| OM | 2.21% | ||
| PM (TTM) | 1.26% | ||
| GM | 6.91% | ||
| FCFM | 0.79% |
ROA(3y)2.18%
ROA(5y)2.37%
ROE(3y)8.05%
ROE(5y)8.23%
ROIC(3y)7.79%
ROIC(5y)7.32%
ROICexc(3y)8.36%
ROICexc(5y)8.17%
ROICexgc(3y)25.16%
ROICexgc(5y)22.93%
ROCE(3y)9.8%
ROCE(5y)9.21%
ROICexgc growth 3Y14.05%
ROICexgc growth 5Y3.33%
ROICexc growth 3Y21.3%
ROICexc growth 5Y-3.93%
OM growth 3Y-2.36%
OM growth 5Y-10.29%
PM growth 3Y-1.88%
PM growth 5Y-10.96%
GM growth 3Y4.45%
GM growth 5Y-11%
F-Score5
Asset Turnover1.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 8.83 | ||
| Debt/EBITDA | 1.73 | ||
| Cap/Depr | 37.19% | ||
| Cap/Sales | 0.25% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 36.03% | ||
| Profit Quality | 62.6% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 2.67 |
F-Score5
WACC9.57%
ROIC/WACC0.87
Cap/Depr(3y)34.7%
Cap/Depr(5y)39.65%
Cap/Sales(3y)0.25%
Cap/Sales(5y)0.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.4%
EPS 3Y9.13%
EPS 5Y-2.52%
EPS Q2Q%25.17%
EPS Next Y5.26%
EPS Next 2Y8.72%
EPS Next 3Y10.31%
EPS Next 5YN/A
Revenue 1Y (TTM)6.94%
Revenue growth 3Y22.74%
Revenue growth 5Y19.73%
Sales Q2Q%6.58%
Revenue Next Year7.31%
Revenue Next 2Y5.96%
Revenue Next 3Y5.38%
Revenue Next 5YN/A
EBIT growth 1Y5.75%
EBIT growth 3Y19.84%
EBIT growth 5Y7.42%
EBIT Next Year13.49%
EBIT Next 3Y8.63%
EBIT Next 5YN/A
FCF growth 1Y-64.51%
FCF growth 3Y11.36%
FCF growth 5Y20.38%
OCF growth 1Y-57.75%
OCF growth 3Y14.57%
OCF growth 5Y17.23%
TD SYNNEX CORP / SNX FAQ
What is the fundamental rating for SNX stock?
ChartMill assigns a fundamental rating of 4 / 10 to SNX.
What is the valuation status of TD SYNNEX CORP (SNX) stock?
ChartMill assigns a valuation rating of 6 / 10 to TD SYNNEX CORP (SNX). This can be considered as Fairly Valued.
What is the profitability of SNX stock?
TD SYNNEX CORP (SNX) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for SNX stock?
The Earnings per Share (EPS) of TD SYNNEX CORP (SNX) is expected to grow by 5.26% in the next year.
Is the dividend of TD SYNNEX CORP sustainable?
The dividend rating of TD SYNNEX CORP (SNX) is 6 / 10 and the dividend payout ratio is 18.83%.