Arrow Electronics, Inc. ARW
Composite 56/100; the shares have moved about 40% annualised. Names that move more contribute more risk for the same amount invested, and our composite reflects how strong the evidence for this one is right now.
Quality ranks 40/100 — a slight mark against it.
Valuation ranks 73/100 — a moderate point in its favour. Momentum ranks 71/100 — a moderate point in its favour. Growth ranks 52/100 — a slight point in its favour.
Quality ranks 40/100 — a slight mark against it.
What the company does Arrow Electronics sources and engineers technology for manufacturers and service providers, operating two segments: Global Components (distributing electronic components and computing products) and Global Enterprise Computing Solutions (offering datacenter, cloud, and security solutions with engineering support).
Key financials Revenue growth 39% and EPS growth 201% over the last year highlight strong top-line and bottom-line momentum. Margins remain tight: gross 11%, operating 4%, and net 2%. ROE is 11%, ROA 3%, and ROCE 11%, with debt/equity at 0.36 and interest coverage 8.6x.
Stock health Momentum is robust: +66% over 12 months, +62% over 6 months, and +15% over 3 months. RSI(14) at 54 suggests neutral momentum, while the stock is -9% below its 52-week high. Sideravia scores it Weak quality (32) but strong momentum (80).
Price vs fair value The stock trades at a **discount of 198.30%** to our fair-value estimate of 643.45 and a **discount of 2.94%** to the 12-month target of 222.00. - Recent rally (+88% YTD) raises valuation questions (Simply Wall St). - AI demand tailwinds cited in adjacent earnings beats (Zacks). - Comparisons to AI supply chain peers (AVT vs ARW) highlight relative attractiveness (Zacks). - Analysts flag strong AI infrastructure demand supporting growth (Motley Fool).
Looking forward Forward P/E of 5.03 and PEG of 0.02 imply deep value, though margins and quality metrics remain weak. Debt levels are manageable, but tight operating margins and high beta (1.20) suggest volatility. Growth in AI-driven enterprise computing may drive further upside.
This is not investment advice. Sideravia provides automated, data-driven analysis for information and education only. Nothing on this page is a personal recommendation or an invitation to buy or sell any security, and it does not consider your objectives or financial situation. Assessments are generated by rules applied uniformly to every covered stock — how our scores work.
Data as of 2026-09-03, compiled from third-party sources; errors and delays are possible and figures are not warranted. Investing puts your capital at risk; past performance does not predict future results. We publish our full track record, including the calls that lost, and our conflicts of interest.