Here's Why TD SYNNEX (SNX) is a Strong Value Stock

Zacks
05 Feb

It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.

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

Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.

TD SYNNEX (SNX)

Fremont, CA-based TD SYNNEX, founded in 1980, is a leading business process services company. The company was formerly known as SYNNEX Corporation. But it changed its name to TD SYNNEX in September 2021 following its merger with Tech Data Corporation.

SNX sits at a Zacks Rank #3 (Hold), holds a Value Style Score of A, and has a VGM Score of B. Compared to the Electronics - Miscellaneous Products industry's P/E of 19.3X, shares of TD SYNNEX are trading at a forward P/E of 11X. SNX also has a PEG Ratio of 1, a Price/Cash Flow ratio of 8.7X, and a Price/Sales ratio of 0.2X.

A company's earnings performance is important for value investors as well. For fiscal 2025, two analysts revised their earnings estimate higher in the last 60 days for SNX, while the Zacks Consensus Estimate has increased $0.00 to $12.70 per share. SNX also holds an average earnings surprise of 1.7%.

With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding SNX to their portfolios.

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Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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