Climb Global Solutions (CLMB) AI Stock Analysis

• Market Cap: $451.74M
• Dividend Yield: 0.69%
• Average Volume (3M): 85.43K
• Price to Earnings (P/E): 23.6
• Beta (1Y): 1.08
• Revenue Growth: 42.25%
• EPS Growth: 65.02%
• Country: US
• Employees: 367
• Sector: Technology
• Sector Strength: 86
• Industry: Technology Distributors
• EPS (TTM): 0.86
• Shares Outstanding: 4,602,362
• 10 Day Avg. Volume: 65,962
• 30 Day Avg. Volume: 85,430
• PEG Ratio: 5.41
• Price to Book (P/B): 5.06
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 21.40
• Enterprise Value/Market Cap: 1.03
• Enterprise Value/Revenue: 0.27
• Enterprise Value/Gross Profit: 4.82
• Enterprise Value/Ebitda: 3.95
• 1Y Price Target: $133.00
• Price Target Upside: 35.49% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 76 Outperform
• Price Target: $122.00 ▲(24.29%Upside)

Climb Global Solutions has a strong financial foundation with consistent growth and efficient cash management. However, technical indicators and valuation suggest caution due to stable but non-directional market trends and high valuation metrics. Positive sentiment from the earnings call and strategic initiatives provide impetus for future growth, but recent corporate changes might pose short-term challenges.

Positive Factors

Emerging Technology Focus

Climb's focus on emerging technology software, such as security and data management, led to solid organic growth.

Financial Performance

Adjusted EBITDA vastly exceeded expectations, highlighting strong financial performance.

Investment Rating

The analyst recommends maintaining an OUTPERFORM rating on CLMB shares with a 12-month price target of $136, suggesting a positive outlook on the stock.

Negative Factors

Earnings Performance

Earnings miss forecast as non-GAAP EPS was less than expected due to an adjusted EBITDA margin shortfall.

Climb Global Solutions Business Overview & Revenue Model

Company Description

Climb Global Solutions Inc. operates as a value-added information technology (IT) distribution and solutions company in the United States, Canada, Europe, the United Kingdom, and internationally. It operates in two segments, Distribution and Solutions. The company distributes technical software and hardware to corporate and value added resellers, consultants, and systems integrators under the names Climb Channel Solutions and Sigma Software Distribution; and software, hardware, and services under the names TechXtend and Grey Matter. It also resells computer software and hardware developed by others, as well as provides technical services to end user customers. In addition, the company offers a line of products from various software vendors; and tools for virtualization/cloud computing, security, networking, storage and infrastructure management, application lifecycle management, and other technically sophisticated domains, as well as computer hardware. Climb Global Solutions Inc. markets its products through its own web sites, local and on-line seminars, events, webinars, and social media, as well as direct email and printed materials. It provides IT distribution and solutions for companies in the security, data management, cloud, connectivity, storage and HCI, virtualization, and software and ALM industries. The company was formerly known as Wayside Technology Group, Inc. and changed its name to Climb Global Solutions Inc. in October 2022. Climb Global Solutions Inc. was incorporated in 1982 and is headquartered in Eatontown, New Jersey.

How the Company Makes Money

Climb Global Solutions makes money through its distribution and value-added services in the technology sector. The company generates revenue primarily by acting as an intermediary between technology manufacturers and resellers or end customers. By partnering with major technology vendors, Climb Global Solutions provides a wide array of products and services, earning margins on the sale of these products. Additionally, the company offers subscription-based services, consulting, and support, which contribute to its recurring revenue streams. Strategic partnerships with leading technology firms enhance its offerings and drive sales growth, while its value-added services help differentiate its business in a competitive market.

Climb Global Solutions Financial Statement Overview

Summary

Climb Global Solutions exhibits strong financial health with consistent revenue growth, solid profitability, and efficient cash flow management. The balance sheet is notably strong with low leverage, supporting long-term stability.

Income Statement

Climb Global Solutions shows strong revenue growth with a notable increase of 9.79% in the TTM compared to the previous year. The company has maintained a solid gross profit margin of 18.89% and a net profit margin of 3.83% in the TTM, indicating strong profitability. The EBIT and EBITDA margins also reflect efficient operational performance at 5.82% and 6.74% respectively.

Balance Sheet

The balance sheet reflects a low debt-to-equity ratio of 0.03, indicating minimal leverage and financial risk. The equity ratio stands at 25.81%, showing a healthy proportion of equity in the asset base. The return on equity is robust at 20.47%, highlighting effective use of shareholder funds to generate profits.

Cash Flow

The company's free cash flow growth rate is strong, with a slight decline in the TTM, but maintaining a solid operating cash flow to net income ratio of 1.44. The free cash flow to net income ratio is also impressive at 1.18, demonstrating effective cash management and conversion of earnings into cash flows.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	465.61M	352.01M	304.35M	282.58M	251.57M
Gross Profit	91.08M	64.25M	54.09M	45.72M	33.04M
EBITDA	35.01M	20.28M	18.59M	13.59M	7.53M
Net Income	18.61M	12.32M	12.50M	9.20M	4.47M
Balance Sheet
Total Assets	469.18M	335.10M	231.86M	190.75M	165.53M
Cash, Cash Equivalents and Short-Term Investments	29.78M	36.30M	20.25M	29.27M	29.35M
Total Debt	3.09M	2.62M	3.63M	2.29M	2.66M
Total Liabilities	378.59M	260.33M	171.28M	138.34M	120.82M
Stockholders Equity	90.59M	74.77M	60.57M	52.42M	44.72M
Cash Flow
Free Cash Flow	28.27M	37.13M	2.06M	4.45M	37.95M
Operating Cash Flow	33.74M	42.12M	4.56M	4.71M	37.97M
Investing Cash Flow	-26.43M	-17.67M	-11.01M	-258.00K	-16.80M
Financing Cash Flow	-12.96M	-8.95M	-1.83M	-4.40M	-6.74M

Climb Global Solutions Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 98.16
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLMB, the sentiment is Negative. The current price of 98.16 is below the 20-day moving average (MA) of 106.22, below the 50-day MA of 106.10, and below the 200-day MA of 115.18, indicating a bearish trend. The MACD of -1.82 indicates Positive momentum. The RSI at 37.24 is Neutral, neither overbought nor oversold. The STOCH value of 6.93 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CLMB.

Climb Global Solutions Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLMB	76 Outperform	$451.74M	23.63	22.21%	0.69%	42.25%	65.02%
ARW	74 Outperform	$6.60B	17.50	6.68%	―	-11.13%	-43.00%
NSIT	73 Outperform	$4.61B	28.91	11.37%	―	-8.73%	-35.37%
CNXN	72 Outperform	$1.65B	20.05	10.11%	0.75%	4.21%	6.38%
SCSC	71 Outperform	$927.55M	14.80	7.32%	―	-14.07%	-9.65%
AVT	68 Neutral	$4.47B	15.43	6.42%	2.47%	-10.52%	-42.40%
Sector *	57 Neutral	HK$14.57B	5.76	-5.77%	4.75%	9.65%	-43.80%

Climb Global Solutions Corporate Events

Climb Global Solutions Terminates CIO Vito Legrottaglie

On June 12, 2025, Climb Global Solutions, Inc. announced the termination of Vito Legrottaglie as Chief Information Officer, effective June 13, 2025. As part of a separation agreement, Mr. Legrottaglie will receive cash compensation for consulting services and accelerated vesting of certain stock units, impacting the company’s executive structure and potentially influencing stakeholder perceptions.

The most recent analyst rating on (CLMB) stock is a Buy with a $90.00 price target. To see the full list of analyst forecasts on Climb Global Solutions stock, see the CLMB Stock Forecast page.

Climb Global Solutions Holds Annual Stockholders Meeting

On June 3, 2025, Climb Global Solutions, Inc. held its Annual Meeting of Stockholders, where 74.92% of the company’s common stock was represented. During the meeting, stockholders elected five directors, approved executive compensation, decided on annual advisory votes for executive compensation, and ratified Deloitte & Touche LLP as the independent accounting firm for the fiscal year ending December 31, 2025.

The most recent analyst rating on (CLMB) stock is a Buy with a $90.00 price target. To see the full list of analyst forecasts on Climb Global Solutions stock, see the CLMB Stock Forecast page.