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Climb Global Solutions, Inc. (CLMB)
NASDAQ:CLMB
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Climb Global Solutions (CLMB) AI Stock Analysis

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CLMB

Climb Global Solutions

(NASDAQ:CLMB)

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Outperform 74 (OpenAI - 5.2)
Rating:74Outperform
Price Target:
$28.00
▲(22.59% Upside)
Action:Reiterated
Date:06/26/26
The score is primarily supported by strong financial quality (especially the very low leverage and solid profitability) and a constructive earnings outlook focused on scaling growth and efficiency. These strengths are tempered by mixed technicals (still below key moving averages, with subdued near-term momentum) and only moderate valuation support given the P/E and low dividend yield.
Positive Factors
Balance Sheet Strength
Climb's conservatively financed balance sheet and very low leverage provide durable financial flexibility, reducing refinancing risk in a cyclical distribution model. This supports opportunistic M&A, sustained investments in automation, and resilience through demand swings without stressing liquidity.
Negative Factors
Margin Compression
A persistent step‑down in effective margins, driven by mix shifts and strategic/one‑time investments, can erode sustainable profitability. If margins do not recover as investments abate, long‑term free cash flow and reinvestment capacity may be constrained relative to growth ambitions.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance Sheet Strength
Climb's conservatively financed balance sheet and very low leverage provide durable financial flexibility, reducing refinancing risk in a cyclical distribution model. This supports opportunistic M&A, sustained investments in automation, and resilience through demand swings without stressing liquidity.
Read all positive factors

Climb Global Solutions (CLMB) vs. SPDR S&P 500 ETF (SPY)

Climb Global Solutions Business Overview & Revenue Model

Company Description
Climb Global Solutions Inc. operates as a comprehensive, value-added information technology (IT) distribution and solutions provider with a global footprint, serving clients across the United States, Canada, Europe, and the United Kingdom, as well...
How the Company Makes Money
Climb Global Solutions primarily makes money by distributing third-party technology offerings and earning a margin between the price at which it acquires vendor products/services and the price at which it sells them to channel partners (such as re...

Climb Global Solutions Earnings Call Summary

Earnings Call Date:Apr 29, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Jul 29, 2026
Earnings Call Sentiment Positive
The call highlighted robust top-line performance (gross billings +14%, net sales +32%) and strategic progress (acquisition of Interwork, selective high-impact vendor additions, investments in automation/AI, and a clean balance sheet with no debt). Near-term profitability metrics were modestly pressured by one-time and strategic investments (including ~ $0.5M Fortinet-related costs), a higher effective tax rate, and a decline in effective margin (29.9% vs 32.7%). Management framed these costs as intentional, short-term investments expected to drive scalable growth and margin improvement later in 2026 (returns expected by Q3). Given the strength of growth metrics, clear M&A and product strategy, and liquidity, balanced against manageable short-term margin pressure, the overall tone is constructive and confidence-oriented.
Positive Updates
Gross Billings Growth
Gross billings increased 14% year-over-year to $542.8 million (from $474.6 million). Distribution segment billings rose 15% to $520.9 million and Solutions segment billings rose 4% to $21.9 million.
Negative Updates
Decline in Effective Margin
Effective margin (adjusted EBITDA as a percentage of gross profit) declined to 29.9% from 32.7% in the prior-year quarter (a ~2.8 percentage-point decrease), driven by investments and one-time costs.
Read all updates
Q1-2026 Updates
Negative
Gross Billings Growth
Gross billings increased 14% year-over-year to $542.8 million (from $474.6 million). Distribution segment billings rose 15% to $520.9 million and Solutions segment billings rose 4% to $21.9 million.
Read all positive updates
Company Guidance
Management provided directional guidance rather than formal numeric targets, saying Q1 momentum (gross billings $542.8M, +14%; distribution $520.9M, solutions $21.9M; net sales $182.4M, +32%; gross profit $26.5M, +13%; adjusted EBITDA $7.9M, +4%; net income $3.3M/$0.18 diluted; adjusted net income $3.6M/$0.19) should improve as one-time investments abate—notably a ~$0.5M Fortinet investment that will ramp in Q2 and is expected to turn positive by Q3 2026. They noted Q1 effective margin was 29.9% (adjusted EBITDA/gross profit) vs. 32.7% year‑ago but said ex‑one‑offs margin was higher and Q1 is typically the year’s low; Q1 SG&A was $20.3M (3.7% of gross billings) with a management goal to split a ~5% gross‑profit pool into ~2.5% SG&A and ~2.5% operating income. Other forward priorities: double the business in three years without doubling headcount, pursue accretive M&A (Interwork added Feb 24 with 600+ resellers), deploy 41+ IT/AI projects to drive efficiency, and operate with strong liquidity ($41.8M cash, no borrowings on a $50M revolver).

Climb Global Solutions Financial Statement Overview

Summary
Strong overall fundamentals supported by meaningful multi-year revenue expansion, consistently positive earnings, and an exceptionally low-leverage balance sheet. Offsets include noticeable margin compression versus 2023–2024 and some year-to-year cash flow volatility tied to working-capital swings.
Income Statement
78
Positive
Balance Sheet
90
Very Positive
Cash Flow
74
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue696.85M652.52M465.61M352.01M304.35M282.58M
Gross Profit108.37M105.27M91.08M64.25M52.04M45.72M
EBITDA36.22M35.65M35.01M20.28M19.01M14.37M
Net Income20.98M21.33M18.61M12.32M12.18M9.20M
Balance Sheet
Total Assets458.84M460.23M469.18M335.10M231.86M190.75M
Cash, Cash Equivalents and Short-Term Investments41.77M36.56M29.78M36.30M20.25M29.27M
Total Debt1.78M3.41M3.09M2.62M3.63M2.29M
Total Liabilities340.41M343.65M378.59M260.33M171.28M138.34M
Stockholders Equity118.43M116.58M90.59M74.77M60.57M52.42M
Cash Flow
Free Cash Flow23.23M14.61M28.27M37.13M2.06M4.45M
Operating Cash Flow24.97M16.60M33.74M42.12M4.56M4.71M
Investing Cash Flow-9.97M-2.00M-26.43M-17.67M-11.01M-258.00K
Financing Cash Flow-6.43M-9.06M-12.96M-8.95M-1.83M-4.40M

Climb Global Solutions Technical Analysis

Technical Analysis Sentiment
Positive
Last Price22.84
Price Trends
50DMA
22.34
Positive
100DMA
21.79
Positive
200DMA
25.55
Positive
Market Momentum
MACD
0.92
Negative
RSI
62.53
Neutral
STOCH
68.15
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLMB, the sentiment is Positive. The current price of 22.84 is below the 20-day moving average (MA) of 23.84, above the 50-day MA of 22.34, and below the 200-day MA of 25.55, indicating a bullish trend. The MACD of 0.92 indicates Negative momentum. The RSI at 62.53 is Neutral, neither overbought nor oversold. The STOCH value of 68.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CLMB.

Climb Global Solutions Risk Analysis

Climb Global Solutions disclosed 32 risk factors in its most recent earnings report. Climb Global Solutions reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Climb Global Solutions Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
$10.44B14.6611.15%20.49%92.31%
74
Outperform
$475.53M22.5618.67%0.63%36.31%7.03%
74
Outperform
$1.98B22.829.67%1.02%0.78%3.87%
69
Neutral
$1.11B16.608.07%3.76%18.30%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
61
Neutral
$3.49B20.0611.17%-1.83%-2.39%
59
Neutral
$6.95B32.914.33%2.77%12.68%-27.94%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CLMB
Climb Global Solutions
25.94
0.80
3.17%
ARW
Arrow Electronics
206.61
76.14
58.36%
AVT
Avnet
85.65
31.91
59.37%
NSIT
Insight Enterprises
115.33
-24.06
-17.26%
CNXN
PC Connection
78.97
14.13
21.79%
SCSC
ScanSource
54.79
14.26
35.18%

Climb Global Solutions Corporate Events

Business Operations and StrategyRegulatory Filings and Compliance
Climb Global Solutions Provides Investor Presentation and Outlook
Neutral
Jul 7, 2026
Climb Global Solutions, Inc. has released a set of presentation materials as Exhibit 99.1 for use in meetings with investors and other interested parties, as well as in speeches to broader audiences. The company explicitly notes that this informat...
Business Operations and StrategyExecutive/Board Changes
Climb Global Solutions Adds Veteran Director to Board
Positive
Jun 25, 2026
On June 23, 2026, Climb Global Solutions, Inc. expanded its Board of Directors from four to five members and elected veteran venture capitalist and technology operator Peter Bell as a director, effective immediately. Bell also became chair of the ...
Business Operations and Strategy
Climb Global Schedules Investor Day to Present Growth Strategy
Positive
Jun 4, 2026
On June 4, 2026, Climb Global Solutions announced it will host an Investor Day on July 7, 2026, at Nasdaq MarketSite in New York City, with both in-person and virtual participation options. The executive leadership team, led by CEO Dale Foster, wi...
Executive/Board ChangesShareholder Meetings
Climb Global Shareholders Back Directors, Pay and Incentive Plan
Positive
Jun 4, 2026
At its 2026 Annual Meeting of Stockholders held on June 2, 2026, Climb Global Solutions, Inc. secured strong shareholder participation, with 81.97% of outstanding common shares represented in person or by proxy. Stockholders elected four directors...
Executive/Board ChangesShareholder Meetings
Climb Global Solutions Announces Board Change as Director Retires
Neutral
Apr 23, 2026
On April 20, 2026, Climb Global Solutions, Inc. announced that director Gerri Gold notified the board she will retire and will not stand for re‑election at the company’s 2026 annual meeting of stockholders, though she will continue to ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 26, 2026