Is Arrow Electronics Stock a Good Investment?
Arrow Electronics Investment Advice | ARW |
- Examine Arrow Electronics' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Arrow Electronics' leadership team and their track record. Good management can help Arrow Electronics navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Electronic Equipment, Instruments & Components space and any emerging trends that could impact Arrow Electronics' business and its evolving consumer preferences.
- Compare Arrow Electronics' performance and market position to its competitors. Analyze how Arrow Electronics is positioned in terms of product offerings, innovation, and market share.
- Check if Arrow Electronics pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Arrow Electronics' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Arrow Electronics stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Arrow Electronics is a good investment.
Sell | Buy |
Strong Buy
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Examine Arrow Electronics Stock
Researching Arrow Electronics' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 99.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.05. Some equities with similar Price to Book (P/B) outperform the market in the long run. Arrow Electronics has Price/Earnings To Growth (PEG) ratio of 0.88. The entity recorded earning per share (EPS) of 8.98. The firm last dividend was issued on the 17th of December 1986. Arrow Electronics had 2:1 split on the 16th of October 1997.
To determine if Arrow Electronics is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Arrow Electronics' research are outlined below:
| Arrow Electronics generated a negative expected return over the last 90 days | |
| Over 99.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from thelincolnianonline.com: Arrow Electronics, Inc. Stock Position Raised by Pacer Advisors Inc. |
Arrow Electronics Quarterly Cash And Short Term Investments |
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Arrow Electronics uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Arrow Electronics. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Arrow Electronics' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 8th of February 2024 Upcoming Quarterly Report | View | |
| 2nd of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 8th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Arrow Electronics' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Arrow Electronics' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2003-07-24 | 2003-06-30 | 0.15 | 0.17 | 0.02 | 13 | ||
2001-10-24 | 2001-09-30 | -0.17 | -0.14 | 0.03 | 17 | ||
2009-10-28 | 2009-09-30 | 0.33 | 0.37 | 0.04 | 12 | ||
2003-04-22 | 2003-03-31 | 0.06 | 0.1 | 0.04 | 66 | ||
2003-02-20 | 2002-12-31 | 0.05 | 0.09 | 0.04 | 80 | ||
1999-04-27 | 1999-03-31 | 0.34 | 0.3 | -0.04 | 11 | ||
2001-07-24 | 2001-06-30 | 0.02 | 0.07 | 0.05 | 250 | ||
2002-02-20 | 2001-12-31 | -0.04 | 0.02 | 0.06 | 150 |
Know Arrow Electronics' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Arrow Electronics is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Arrow Electronics backward and forwards among themselves. Arrow Electronics' institutional investor refers to the entity that pools money to purchase Arrow Electronics' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Aqr Capital Management Llc | 2024-06-30 | 1.3 M | Pacer Advisors, Inc. | 2024-06-30 | 1.2 M | Bank Of America Corp | 2024-06-30 | 1.1 M | Fiduciary Management, Inc. Of Milwaukee | 2024-09-30 | 1.1 M | Geode Capital Management, Llc | 2024-09-30 | 923.5 K | Hotchkis & Wiley Capital Management Llc | 2024-09-30 | 838.1 K | Norges Bank | 2024-06-30 | 716.2 K | Fidelity International Ltd | 2024-06-30 | 707.3 K | Sei Investments Co | 2024-06-30 | 699.8 K | Vanguard Group Inc | 2024-09-30 | 6.2 M | Blackrock Inc | 2024-06-30 | 5.2 M |
Arrow Electronics' market capitalization trends
The company currently falls under 'Mid-Cap' category with a total capitalization of 6.27 B.Market Cap |
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Arrow Electronics' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.05 | 0.03 | |
| Return On Capital Employed | 0.17 | 0.10 | |
| Return On Assets | 0.04 | 0.02 | |
| Return On Equity | 0.16 | 0.16 |
Determining Arrow Electronics' profitability involves analyzing its financial statements and using various financial metrics to determine if Arrow Electronics is a good buy. For example, gross profit margin measures Arrow Electronics' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Arrow Electronics' profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Arrow Electronics' accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Arrow Electronics. Check Arrow Electronics' Beneish M Score to see the likelihood of Arrow Electronics' management manipulating its earnings.
Evaluate Arrow Electronics' management efficiency
Arrow Electronics has Return on Asset of 0.0315 % which means that on every $100 spent on assets, it made $0.0315 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.0845 %, implying that it generated $0.0845 on every 100 dollars invested. Arrow Electronics' management efficiency ratios could be used to measure how well Arrow Electronics manages its routine affairs as well as how well it operates its assets and liabilities. Return On Equity is likely to climb to 0.16 in 2024, whereas Return On Tangible Assets are likely to drop 0.03 in 2024. At this time, Arrow Electronics' Total Assets are fairly stable compared to the past year. Other Current Assets is likely to climb to about 718.3 M in 2024, whereas Non Currrent Assets Other are likely to drop slightly above 348.2 M in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 104.28 | 109.50 | |
| Tangible Book Value Per Share | 65.64 | 68.92 | |
| Enterprise Value Over EBITDA | 5.93 | 5.86 | |
| Price Book Value Ratio | 1.19 | 1.07 | |
| Enterprise Value Multiple | 5.93 | 5.86 | |
| Price Fair Value | 1.19 | 1.07 | |
| Enterprise Value | 9.3 B | 9.8 B |
The strategic initiatives led by Arrow Electronics' management are central to its market success. By analyzing these initiatives, we provide a clear picture of the stock's growth prospects.
Beta 1.274 |
Basic technical analysis of Arrow Stock
As of the 24th of November, Arrow Electronics shows the Mean Deviation of 1.26, standard deviation of 2.11, and Risk Adjusted Performance of (0.04). Arrow Electronics technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Please confirm Arrow Electronics information ratio and kurtosis to decide if Arrow Electronics is priced correctly, providing market reflects its regular price of 119.26 per share. Given that Arrow Electronics has information ratio of (0.12), we suggest you to validate Arrow Electronics's prevailing market performance to make sure the company can sustain itself at a future point.Arrow Electronics' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Arrow Electronics insiders, such as employees or executives, is commonly permitted as long as it does not rely on Arrow Electronics' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Arrow Electronics insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Arrow Electronics' Outstanding Corporate Bonds
Arrow Electronics issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Arrow Electronics uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Arrow bonds can be classified according to their maturity, which is the date when Arrow Electronics has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| ARROW ELECTRS INC Corp BondUS042735BE98 | View | |
| ARROW ELECTRS INC Corp BondUS042735BF63 | View | |
| ARW 295 15 FEB 32 Corp BondUS04273WAC55 | View | |
| ARROW ELECTRS INC Corp BondUS042735AK67 | View |
Understand Arrow Electronics' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Arrow Electronics' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.04) | |||
| Market Risk Adjusted Performance | (0.07) | |||
| Mean Deviation | 1.26 | |||
| Coefficient Of Variation | (1,843) | |||
| Standard Deviation | 2.11 | |||
| Variance | 4.47 | |||
| Information Ratio | (0.12) | |||
| Jensen Alpha | (0.32) | |||
| Total Risk Alpha | (0.46) | |||
| Treynor Ratio | (0.08) | |||
| Maximum Drawdown | 15.96 | |||
| Value At Risk | (1.98) | |||
| Potential Upside | 2.56 | |||
| Skewness | (3.19) | |||
| Kurtosis | 18.42 |
| Risk Adjusted Performance | (0.04) | |||
| Market Risk Adjusted Performance | (0.07) | |||
| Mean Deviation | 1.26 | |||
| Coefficient Of Variation | (1,843) | |||
| Standard Deviation | 2.11 | |||
| Variance | 4.47 | |||
| Information Ratio | (0.12) | |||
| Jensen Alpha | (0.32) | |||
| Total Risk Alpha | (0.46) | |||
| Treynor Ratio | (0.08) | |||
| Maximum Drawdown | 15.96 | |||
| Value At Risk | (1.98) | |||
| Potential Upside | 2.56 | |||
| Skewness | (3.19) | |||
| Kurtosis | 18.42 |
Consider Arrow Electronics' intraday indicators
Arrow Electronics intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Arrow Electronics stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Arrow Electronics Corporate Filings
F4 | 19th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
10Q | 31st of October 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
8K | 10th of September 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 13th of August 2024 Prospectus used primarily for registering securities for public sale. | ViewVerify |
Arrow Stock media impact
Far too much social signal, news, headlines, and media speculation about Arrow Electronics that are available to investors today. That information is available publicly through Arrow media outlets and privately through word of mouth or via Arrow internal channels. However, regardless of the origin, that massive amount of Arrow data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Arrow Electronics news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Arrow Electronics relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Arrow Electronics' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Arrow Electronics alpha.
Arrow Electronics Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Arrow Electronics can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Arrow Electronics Historical Investor Sentiment
Investor biases related to Arrow Electronics' public news can be used to forecast risks associated with an investment in Arrow. The trend in average sentiment can be used to explain how an investor holding Arrow can time the market purely based on public headlines and social activities around Arrow Electronics. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Arrow Electronics' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Arrow Electronics and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Arrow Electronics news discussions. The higher the estimate score, the more favorable the investor's outlook on Arrow Electronics.
Arrow Electronics Corporate Directors
| Richard Hill | Independent Director | Profile | |
| Martha Keeth | Independent Director | Profile | |
| Laurel Krzeminski | Independent Director | Profile | |
| Fabian Garcia | Independent Director | Profile |
Already Invested in Arrow Electronics?
The danger of trading Arrow Electronics is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Arrow Electronics is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Arrow Electronics. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Arrow Electronics is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
Additional Tools for Arrow Stock Analysis
When running Arrow Electronics' price analysis, check to measure Arrow Electronics' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Arrow Electronics is operating at the current time. Most of Arrow Electronics' value examination focuses on studying past and present price action to predict the probability of Arrow Electronics' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Arrow Electronics' price. Additionally, you may evaluate how the addition of Arrow Electronics to your portfolios can decrease your overall portfolio volatility.