Why Arrow Electronics (ARW) is a Top Value Stock for the Long-Term
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.
Arrow Electronics (ARW)
New York-based Arrow Electronics Inc. is one of the world’s largest distributors of electronic components and enterprise computing products. Arrow provides one of the broadest product ranges in the electronic components and enterprise computing solutions distribution industries. Along with these, the company provides a wide range of value-added services to help customers reduce their marketing time, lower the total cost of ownership, introduce innovative products through demand creation opportunities and enhance their overall competitiveness.
ARW is a Zacks Rank #3 (Hold) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 4.7X for the current fiscal year compared to the Electronics - Parts Distribution industry's P/E of 7.3X. Additionally, ARW has a PEG Ratio of 1.4 and a Price/Cash Flow ratio of 5.2X. Value investors should also note ARW's Price/Sales ratio of 0.2X.
Many value investors pay close attention to a company's earnings as well. For ARW, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.22 to $21.81 per share for 2022. Per share ARW boasts an average earnings surprise of 15%.
Investors should take the time to consider ARW for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.
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Arrow Electronics, Inc. (ARW) : Free Stock Analysis Report
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