ARW

Arrow Electronics, Inc.

Fundamental data last updated:June 5, 2026

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company profile

SECTOR

Technology

industry

Technology Distributors

Exchange

NYSE

County of HQ

US

Next Earnings Date

07/30/2026

Business Summary

Arrow Electronics, Inc. provides products, services, and solutions to industrial and commercial users of electronic components and enterprise computing solutions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company operates in two segments, Global Components and Global Enterprise Computing Solutions. The Global Components segment markets and distributes semiconductor products and related services; passive, electro-mechanical, and interconnect products, including capacitors, resistors, potentiometers, power supplies, relays, switches, and connectors; and computing and memory products, as well as other products and services. The Global Enterprise Computing Solutions segment offers computing solutions, such as datacenter, cloud, security, and analytics solutions. This segment provides access to various services, including engineering and integration support, warehousing and logistics, marketing resources, and authorized hardware and software training. The company serves original equipment manufacturers, value-added resellers, managed service providers, contract manufacturers, and other commercial customers. Arrow Electronics, Inc. was founded in 1935 and is based in Centennial, Colorado.

 


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VALUATION

P/E

15.20

Market Cap ($M USD)

$11.00B

Forward P/E

8.80

PEG

0.12

PRICE TO SALES

0.33

PRICE TO BOOK

1.64

EV / EBITDA

9.98

5-Year Average P/E

Free Cash Flow Yield

3.43%

DCF Value

$219.80

Graham Number

$204.57

Price to FCF

29.14

EV to FCF

34.91

Earnings Yield

6.58%

FCF Yield

3.43%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$14.16

Next Year EPS Growth Estimate

$24.44

Next Year Revenue Growth Estimate

$4.36T

Return on Equity (ROE)

11.15%

FREE CASH FLOW

Operating Margin

3.29%

Debt-to-Equity

0.47

Piotroski F-Score

4

Altman Z-Score

1.74

Return on Invested Capital (ROIC)

11.41%

Current Ratio

1.24

Quick Ratio

1.02

Net Debt to EBITDA

1.65

Interest Coverage

9.07

Gross Profit margin

11.18%

FCF PER SHARE

$7.36

REVENUE PER SHARE

$653.00

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Gainseekers Quantitative Analysis

Summary

Arrow Electronics, Inc. presents a compelling case of market mispricing. Recent pricing indicated it traded below its DCF value and Graham Number, suggesting undervaluation. The Forward P/E of 7.98 and an Earnings Yield of 7.26% highlight its potential for growth at a reasonable price. However, the Altman Z-score of 1.72 raises red flags about financial distress, hinting at potential risks. Despite these concerns, the stock’s valuation metrics suggest a disconnect between market perception and intrinsic value.

AI Exposure / Tech Reliance

Positioned within the Technology Distributors industry, Arrow Electronics is strategically aligned to capitalize on AI and tech advancements. Its role as a distributor allows it to integrate cutting-edge technologies into its supply chain. This adaptability is crucial for maintaining relevance in a rapidly evolving tech landscape.

The Bull Case

For the value-driven investor, Arrow Electronics offers a tantalizing opportunity. With a robust ROIC of 11.41% and a Piotroski F-Score of 5, the company demonstrates solid capital efficiency and operational health. The FCF Yield, though modest, indicates a capacity for generating cash, while its operating margin of 3.29% reflects disciplined cost management. These metrics suggest a company with pricing power and the ability to reinvest effectively.

The Bear Case

Yet, the stock is not without its pitfalls. The Price/Sales ratio of 0.30 and Price/Book of 1.48 suggest it may not be as cheap as it appears. Its proximity to the 52-week high, just 2.32% away, indicates potential overextension. Furthermore, the EV to FCF ratio of 32.17 raises concerns about cash flow valuation. These factors, combined with a low Altman Z-score, underscore structural vulnerabilities.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Hold

Average Analyst Price Target

$208.33

Institutional Ownership %

1-Year Beta

1.17

Insider Buying % (6 Mo)

Distance to 52-Week High

4.48%

Distance to 52-Week Low

52.70%

EARNINGS SURPRISE %

85.77%

50-DAY SMA

$177.48

200-DAY SMA

$137.32

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.