TD SYNNEX Corporation (SNX) AI Stock Analysis

• Market Cap: $12.06B
• Dividend Yield: 1.18%
• Average Volume (3M): 551.68K
• Price to Earnings (P/E): 17.1
• Beta (1Y): 1.11
• Revenue Growth: 6.60%
• EPS Growth: 19.93%
• Country: US
• Employees: 23,000
• Sector: Technology
• Sector Strength: 83
• Industry: Technology Distributors
• EPS (TTM): 2.99
• Shares Outstanding: 82,467,080
• 10 Day Avg. Volume: 541,405
• 30 Day Avg. Volume: 551,676
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.11
• Enterprise Value/Revenue: 0.22
• Enterprise Value/Gross Profit: 3.31
• Enterprise Value/Ebitda: 8.06
• 1Y Price Target: $157.50
• Price Target Upside: 5.13% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 79 Outperform
• Price Target: $169.00 ▲(12.80% Upside)

TD SYNNEX Corporation's overall stock score of 79 reflects its strong financial performance and positive earnings call highlights, which are the most significant factors. The technical analysis supports a bullish outlook, while the valuation suggests the stock is fairly priced. Despite some concerns about margin pressures and economic uncertainties, the company's strategic growth initiatives and solid financial health position it well for future success.

Positive Factors

Customer Demand

Hyve, TD Synnex’s manufacturing business, continues to see strong demand from existing customers and interest from new hyperscale customers.

Financial Performance

SNX reported billings, revenue, and EPS above the high end of guidance driven by broad-based strength across its customer segments including SMB, MSPs, and the public sector.

Market Opportunities

TD Synnex is well positioned to benefit as end markets recover.

Negative Factors

Economic Environment

Reducing fiscal 2025/2026 EPS forecasts due to the current economic environment.

Guidance and Forecasts

Management guided billings growth for the next quarter lower, which is considered conservative given the company is not seeing a slowdown in demand, but rather being prudent due to uncertain macroeconomic conditions and potential tariff impacts.

TD SYNNEX Corporation Business Overview & Revenue Model

Company Description

TD SYNNEX Corporation provides business process services in the United States and internationally. The company distributes PC systems, mobile phones and accessories, printers, peripherals, supplies, endpoint technology software, consumer electronics, information technology (IT) systems including data center server and storage solutions, system components, software, networking, communications and security equipment, consumer electronics, and complementary products. It also provides systems design and integration solutions, build-to-order, and configure-to-order assembly capabilities; logistics services that comprise outsourced fulfillment, virtual distribution, and direct ship to end-users; cloud services; online services; and financing services comprising net terms, third party leasing, floor plan financing, and letters of credit backed financing and arrangements. In addition, the company offers marketing services, such as direct mail, external media advertising, reseller product training, targeted telemarketing campaigns, trade shows, trade groups, database analysis, print on demand services, and web-based marketing. It serves resellers, system integrators, and retailers. The company was formerly known as SYNNEX Corporation and changed its name to TD SYNNEX Corporation in September 2021. TD SYNNEX Corporation was incorporated in 1980 and is headquartered in Fremont, California.

How the Company Makes Money

TD SYNNEX generates revenue primarily through the distribution of technology products and services. Its revenue model is centered on the wholesale distribution of IT products to resellers and retailers, where the company earns margins on the products sold. Key revenue streams include sales of hardware, software, and cloud services. Additionally, TD SYNNEX benefits from value-added services, such as logistics and support, which contribute to its earnings. The company has established significant partnerships with major technology vendors, enhancing its product offerings and market reach, which in turn drives revenue growth. Factors such as market demand for IT solutions, the expansion of cloud services, and the company's ability to leverage its extensive distribution network also play critical roles in its earnings.

TD SYNNEX Corporation Financial Statement Overview

Summary

TD SYNNEX Corporation demonstrates a strong financial position with solid profit margins, effective debt management, and healthy cash flow generation. The company is experiencing steady revenue growth and improving profitability metrics, indicating a well-managed operation with effective cost control. While there is a slight dip in cash flow growth, the overall financial health remains robust, positioning the company well for future growth opportunities.

Income Statement

TD SYNNEX Corporation's income statement reveals a strong financial performance with a gross profit margin of 6.74% and an improving net profit margin of 1.54% in TTM, up from 1.18% in the previous year. The revenue growth rate of 2.66% in TTM suggests steady expansion. The company shows a consistent EBIT margin of 2.10% and an EBITDA margin of 1.83%. The improvement in margins and revenue growth indicates robust operational efficiency and profitability.

Balance Sheet

The balance sheet of TD SYNNEX Corporation is solid, with a debt-to-equity ratio of 0.05 in TTM, significantly reduced from prior periods, indicating a strong deleveraging effort. The return on equity (ROE) has improved to 11.11%, reflecting better utilization of shareholders' equity for profitability. The equity ratio stands at 27.34%, suggesting a moderate reliance on equity financing. Overall, the company has a stable financial position with a notable reduction in leverage.

Cash Flow

TD SYNNEX Corporation's cash flow analysis shows a positive trajectory with a free cash flow growth rate of -41.99%, which although negative, is due to prior exceptional cash flow levels rather than operational issues. The operating cash flow to net income ratio of 0.83 indicates efficient cash conversion, and a free cash flow to net income ratio of 0.65 represents solid cash generation relative to net profits. The company maintains a healthy cash flow profile despite a slight decline.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	60.01B	58.45B	57.56B	62.34B	31.61B	19.98B
Gross Profit	4.05B	3.98B	3.96B	3.90B	1.89B	1.19B
EBITDA	1.66B	1.59B	1.50B	1.51B	775.98M	856.81M
Net Income	725.82M	689.09M	626.91M	651.31M	395.07M	529.16M
Balance Sheet
Total Assets	30.51B	30.27B	29.41B	29.73B	27.67B	13.47B
Cash, Cash Equivalents and Short-Term Investments	767.10M	1.06B	1.03B	522.60M	993.97M	1.41B
Total Debt	4.11B	4.40B	4.08B	4.53B	4.14B	1.62B
Total Liabilities	22.17B	22.24B	21.23B	21.71B	19.76B	9.13B
Stockholders Equity	8.34B	8.04B	8.18B	8.03B	7.91B	4.34B
Cash Flow
Free Cash Flow	604.94M	1.04B	1.26B	-166.65M	754.89M	1.64B
Operating Cash Flow	772.91M	1.22B	1.41B	-49.60M	809.79M	1.83B
Investing Cash Flow	-164.12M	-193.84M	-156.41M	-115.51M	-952.35M	-209.50M
Financing Cash Flow	-1.06B	-953.10M	-785.88M	-275.59M	-392.62M	-291.70M

TD SYNNEX Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 149.82
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SNX, the sentiment is Positive. The current price of 149.82 is above the 20-day moving average (MA) of 146.34, above the 50-day MA of 140.69, and above the 200-day MA of 127.17, indicating a bullish trend. The MACD of 1.90 indicates Positive momentum. The RSI at 59.92 is Neutral, neither overbought nor oversold. The STOCH value of 32.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SNX.

TD SYNNEX Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SNX	79 Outperform	$12.06B	17.09	8.83%	1.18%	6.60%	19.93%
CNXN	74 Outperform	$1.60B	19.20	9.78%	0.89%	4.94%	-1.79%
ARW	70 Outperform	$6.45B	14.12	7.74%	―	-3.95%	-16.72%
SCSC	69 Neutral	$972.97M	15.33	7.82%	―	-6.72%	-1.14%
Sector *	68 Neutral	¥239.04B	15.13	6.64%	2.40%	9.16%	-0.15%
NSIT	67 Neutral	$4.15B	30.91	8.67%	―	-7.61%	-50.01%
AVT	66 Neutral	$4.47B	19.47	4.83%	2.37%	-6.55%	-49.61%

TD SYNNEX Corporation Corporate Events

TD SYNNEX Announces CBO Simon Leung’s Retirement

On August 15, 2025, Simon Leung, Chief Business Officer of TD SYNNEX Corporation, announced his retirement effective September 1, 2025. This decision marks a significant leadership change for the company, potentially impacting its strategic direction and operations.