TD SYNNEX Corporation (SNX) AI Stock Analysis

• Market Cap: $13.69B
• Dividend Yield: 1.05%
• Average Volume (3M): 794.64K
• Price to Earnings (P/E): 18.0
• Beta (1Y): 1.12
• Revenue Growth: 6.94%
• EPS Growth: 19.51%
• Country: US
• Employees: 23,000
• Sector: Technology
• Sector Strength: 88
• Industry: Technology Distributors
• EPS (TTM): 3.58
• Shares Outstanding: 82,467,080
• 10 Day Avg. Volume: 1,293,083
• 30 Day Avg. Volume: 794,639
• PEG Ratio: 0.78
• Price to Book (P/B): 1.27
• Price to Sales (P/S): 0.17
• P/FCF Ratio: 9.76
• Enterprise Value/Market Cap: 1.13
• Enterprise Value/Revenue: 0.25
• Enterprise Value/Gross Profit: 4.03
• Enterprise Value/Ebitda: 8.81
• 1Y Price Target: $177.00
• Price Target Upside: 7.67% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10

• Rating: 76 Outperform
• Price Target: $180.00 ▲(9.50% Upside)

TD SYNNEX Corporation's strong earnings call performance and robust technical indicators are the primary drivers of its stock score. The company's solid financial position supports its valuation, though cash flow management remains a concern. The stock's upward momentum and fair valuation further enhance its attractiveness.

Positive Factors

Revenue Growth

TD SYNNEX's ability to surpass revenue expectations indicates strong market demand and effective execution of its go-to-market strategy, supporting long-term growth.

Geographic Expansion

Expanding presence in high-growth regions enhances TD SYNNEX's global footprint, diversifying revenue streams and reducing reliance on any single market.

Product Portfolio Strength

Growth in advanced solutions, particularly in cloud and security, positions TD SYNNEX well in high-demand sectors, ensuring competitive advantage and future revenue potential.

Negative Factors

Cash Flow Management

Declining cash flow growth can strain financial flexibility, impacting the company's ability to invest in growth opportunities and manage liabilities effectively.

Interest and Tax Expenses

Rising interest and tax expenses can erode profitability, limiting the company's ability to reinvest earnings into strategic initiatives and growth.

Federal Sector Challenges

Challenges in the federal sector may hinder growth in this segment, potentially affecting overall revenue and requiring strategic adjustments to mitigate impact.

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 consistent revenue growth and low leverage. The income statement reflects solid profitability, though operational efficiency could be enhanced. The balance sheet is robust, with a low debt burden and strong equity returns. However, cash flow management poses a challenge, with declining free cash flow growth.

Income Statement

TD SYNNEX Corporation shows a steady revenue growth with a TTM increase of 1.61%. The gross profit margin is stable at 6.69%, and the net profit margin has improved to 1.82% in the TTM. However, the EBIT and EBITDA margins have slightly declined, indicating potential cost pressures. Overall, the income statement reflects a solid performance with room for improvement in operational efficiency.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.14 in the TTM, indicating low leverage. Return on equity has improved to 13.48%, showcasing effective use of equity to generate profits. The equity ratio stands at a healthy level, reflecting financial stability and a strong asset base.

Cash Flow

Operating cash flow has decreased significantly in the TTM, impacting the operating cash flow to net income ratio. Free cash flow has also declined, with a negative growth rate of -20.62%. Despite this, the free cash flow to net income ratio remains robust at 75.83%, indicating efficient cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	60.97B	58.45B	57.56B	62.34B	31.61B	19.98B
Gross Profit	3.84B	3.54B	3.58B	3.56B	1.77B	1.15B
EBITDA	1.76B	1.60B	1.51B	1.49B	731.90M	545.15M
Net Income	774.05M	689.09M	626.91M	651.31M	395.07M	529.16M
Balance Sheet
Total Assets	31.68B	30.27B	29.41B	29.73B	27.67B	13.47B
Cash, Cash Equivalents and Short-Term Investments	874.35M	1.06B	1.03B	522.60M	993.97M	1.41B
Total Debt	4.24B	4.40B	4.08B	4.10B	4.14B	1.62B
Total Liabilities	23.23B	22.24B	21.23B	21.71B	19.76B	9.13B
Stockholders Equity	8.45B	8.04B	8.18B	8.03B	7.91B	4.34B
Cash Flow
Free Cash Flow	480.22M	1.04B	1.26B	-166.65M	754.89M	1.64B
Operating Cash Flow	633.27M	1.22B	1.41B	-49.60M	809.79M	1.83B
Investing Cash Flow	-189.02M	-193.84M	-156.41M	-115.51M	-952.35M	-209.50M
Financing Cash Flow	-483.63M	-953.10M	-785.88M	-275.59M	-392.62M	-291.70M

TD SYNNEX Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 164.39
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

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 164.39 is above the 20-day moving average (MA) of 153.86, above the 50-day MA of 149.61, and above the 200-day MA of 131.69, indicating a bullish trend. The MACD of 4.16 indicates Negative momentum. The RSI at 70.48 is Negative, neither overbought nor oversold. The STOCH value of 88.54 is Negative, 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	76 Outperform	$13.69B	18.02	9.23%	1.05%	6.94%	19.51%
CNXN	74 Outperform	$1.57B	18.85	9.56%	0.89%	4.94%	-1.79%
SCSC	71 Outperform	$958.98M	14.56	7.89%	―	-6.72%	-1.14%
ARW	69 Neutral	$6.27B	13.76	7.38%	―	-3.95%	-16.72%
AVT	66 Neutral	$4.36B	19.02	4.79%	2.57%	-6.55%	-49.61%
NSIT	61 Neutral	$3.54B	26.82	9.32%	―	-7.61%	-50.01%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

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.