Latest news with #ArrowElectronics
Business Wire
5 days ago
- Business
- Business Wire
Arrow Electronics Earns Dual Honors as Dell Technologies Partner of the Year
CENTENNIAL, Colo.--(BUSINESS WIRE)--Global technology solutions provider Arrow Electronics has received two prestigious awards from Dell Technologies: 2025 OEM Solutions Partner of the Year and 2025 North America Distributor of the Year. The awards were announced at Dell Technologies World, held in Las Vegas in late May. 'These awards underscore the strength of our partnership with Dell Technologies and our shared commitment to driving innovation and empowering mid-market channel partners,' said Eric Nowak, president of Arrow's global enterprise computing solutions business. 'Arrow's ability to deliver end-to-end services at scale—from product readiness to market acceleration—enables us to create transformative solutions that meet the evolving needs of our customers.' Arrow Electronics' Intelligent Solutions business was honored as the 2025 OEM Solutions Partner of the Year, marking a significant milestone in its partnership with Dell Technologies. Previously recognized in North America for three consecutive years, this year's award underscores Arrow's growing impact in driving next-generation engineered systems worldwide. Through its differentiated technology and services stack, the Arrow-Dell alliance empowers OEMs and ISVs to accelerate innovation and bring cutting-edge products to market faster. Arrow's enterprise computing solutions business was named the 2025 North America Distributor of the Year, celebrating its dedication to driving digital transformation across key technology areas including AI, and significant growth through its community of resellers. Phil Sanginario, CEO of Redesign Group, a global technology and cybersecurity firm and longtime Arrow channel partner said, "Partnering with Arrow has enabled us to accelerate innovation and deliver cutting-edge technology to our customers. With Arrow's support, we've seen significant growth in both revenue and market reach, allowing us to better serve our clients and stay ahead in today's competitive landscape.' The Dell Technologies Partner of the Year Awards honor those organizations that demonstrate exceptional performance, growth, and commitment to delivering innovative technology solutions to customers and that showcase excellence aligned with Dell Technologies' core values. Arrow continues to strengthen its position as a trusted technology partner, empowering businesses to achieve their goals by simplifying the complexities of technology and transformation. To learn more about the Arrow-Dell Technologies collaborations, visit or Arrow Electronics (NYSE: ARW) sources and engineers technology solutions for thousands of leading manufacturers and service providers. With global 2024 sales of $28 billion, Arrow's portfolio enables technology across major industries and markets. Learn more at
Yahoo
15-05-2025
- Business
- Yahoo
ARW Q1 Earnings Call: Revenue Beat Offset by Cautious Guidance Amid Trade Policy Uncertainty
Global electronics components and solutions distributor Arrow Electronics (NYSE:ARW) beat Wall Street's revenue expectations in Q1 CY2025, but sales fell by 1.6% year on year to $6.81 billion. On the other hand, next quarter's revenue guidance of $7 billion was less impressive, coming in 1.4% below analysts' estimates. Its non-GAAP profit of $1.80 per share was 25.5% above analysts' consensus estimates. Is now the time to buy ARW? Find out in our full research report (it's free). Revenue: $6.81 billion vs analyst estimates of $6.36 billion (1.6% year-on-year decline, 7.2% beat) Adjusted EPS: $1.80 vs analyst estimates of $1.43 (25.5% beat) Adjusted EBITDA: $214.6 million vs analyst estimates of $197.9 million (3.1% margin, 8.5% beat) Revenue Guidance for Q2 CY2025 is $7 billion at the midpoint, below analyst estimates of $7.1 billion Adjusted EPS guidance for Q2 CY2025 is $2 at the midpoint, below analyst estimates of $2.07 Operating Margin: 2.3%, in line with the same quarter last year Free Cash Flow Margin: 4.8%, similar to the same quarter last year Market Capitalization: $6.23 billion Arrow Electronics delivered first quarter results that surpassed Wall Street's revenue and profit expectations, driven by improving demand trends in its global components business and ongoing momentum within enterprise computing solutions. CEO Sean Kerins attributed the upside to stronger-than-expected sales across all regions, particularly in EMEA, and highlighted sequential improvement in industrial and transportation segments. He also cited the positive impact of Arrow's value-added offerings and expense management efforts. Looking ahead, management signaled that demand trends are showing early signs of normalization, but guidance for the next quarter reflects caution due to heightened trade policy uncertainty. Kerins explained, 'We are working to mitigate the impacts of tariffs, but the environment remains highly fluid.' CFO Raj Agrawal noted that recently enacted tariffs are not factored into the baseline revenue outlook and could represent an incremental benefit if implemented. As a result, Arrow's guidance remains conservative until there is greater clarity on trade policy impacts. Management's commentary focused on operational execution in a volatile environment, the evolving trade policy landscape, and shifting demand patterns across business segments. These factors shaped both the revenue outperformance this quarter and the conservative stance on forward guidance. Global Components Resilience: The global components business saw sequential improvement, with EMEA and industrial markets outperforming typical seasonal trends. Arrow's efforts to specialize in IP&E (interconnect, passive, and electromechanical) components contributed to this momentum. Enterprise Solutions Expansion: The enterprise computing solutions (ECS) segment delivered year-over-year growth in billings, gross profit, and operating income, thanks to strength in cloud and hybrid cloud technologies. ECS backlog rose by over 50% year-over-year, indicating sustained demand for recurring revenue streams like ArrowSphere. Inventory and Working Capital: Executives emphasized ongoing normalization in inventory levels. While pockets of excess inventory persist, management believes most metrics are now aligned with historical patterns, setting the stage for more typical working capital deployment as demand recovers. Tariff and Trade Policy Impacts: Management acknowledged that rapidly changing tariffs introduce complexity and uncertainty. Arrow is implementing mitigation strategies—such as alternative sourcing and process adjustments—but has not seen significant changes in customer ordering patterns due to tariffs so far. Potential tariff-related price increases are not included in Q2 guidance. Visibility and Book-to-Bill Improvement: Leading indicators, including book-to-bill ratios and growing backlogs, are supporting management's view that the demand environment is stabilizing. Visibility into the second half of the year has improved, especially as backlog duration extends further into future quarters. Management expects the business environment to gradually recover, but future performance will depend on how Arrow navigates trade policy changes and adapts to evolving customer demand patterns. Tariff and Trade Policy Risk: Unpredictable trade policy developments, particularly new tariffs impacting electronics components, create near-term uncertainty. Management is preparing mitigation plans but acknowledges that sudden changes could affect both revenue and profitability. Shift Toward Recurring Revenue: The expansion of the ArrowSphere digital platform and growth in recurring revenue from as-a-service offerings position ECS for more stable performance. Management believes this shift will help offset volatility in transactional hardware sales. Inventory Normalization and Demand Recovery: As industry-wide inventory levels stabilize and customer replenishment resumes, Arrow anticipates more typical working capital cycles and improved sales visibility. The company's ability to match inventory with demand will be a key determinant of margin performance. Joseph Quatrochi (Wells Fargo): Asked about the 2% to 4% increase in component sales not included in guidance due to tariffs; management clarified that only current policies are reflected and mitigation strategies are in place. William Stein (Truist Securities): Pressed on whether current inventory levels are appropriate long term; management said inventory turns should improve as demand recovers, with pockets of excess still being addressed. William Stein (Truist Securities): Questioned if the ECS business saw order acceleration due to tariff avoidance; CEO Sean Kerins replied that no material pull-ins were observed and demand trends appear steady. Unidentified Analyst (Bank of America): Sought clarification on whether Q1 saw any pull-forward activity; management reported no significant impact from tariff avoidance, with backlog building out into future quarters. Unidentified Analyst (Bank of America): Asked if visibility was improving for later quarters; management confirmed that backlog, book-to-bill ratios, and supplier outlooks suggest greater visibility for the second half of the year. In the coming quarters, the StockStory team will monitor (1) the impact of new tariff implementations and Arrow's ability to manage associated costs, (2) the pace at which industry and company inventories normalize, and (3) continued growth of recurring revenue streams in the ECS segment. We will also track whether Arrow can sustain backlog growth and improved book-to-bill ratios as broader demand recovers. Arrow Electronics currently trades at a forward P/E ratio of 10.3×. In the wake of earnings, is it a buy or sell? The answer lies in our free research report. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-05-2025
- Business
- Yahoo
We Think You Can Look Beyond Arrow Electronics' (NYSE:ARW) Lackluster Earnings
The market was pleased with the recent earnings report from Arrow Electronics, Inc. (NYSE:ARW), despite the profit numbers being soft. Our analysis suggests that investors may have noticed some promising signs beyond the statutory profit figures. We've discovered 3 warning signs about Arrow Electronics. View them for free. For anyone who wants to understand Arrow Electronics' profit beyond the statutory numbers, it's important to note that during the last twelve months statutory profit was reduced by US$206m due to unusual items. While deductions due to unusual items are disappointing in the first instance, there is a silver lining. We looked at thousands of listed companies and found that unusual items are very often one-off in nature. And that's hardly a surprise given these line items are considered unusual. If Arrow Electronics doesn't see those unusual expenses repeat, then all else being equal we'd expect its profit to increase over the coming year. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. Because unusual items detracted from Arrow Electronics' earnings over the last year, you could argue that we can expect an improved result in the current quarter. Based on this observation, we consider it likely that Arrow Electronics' statutory profit actually understates its earnings potential! On the other hand, its EPS actually shrunk in the last twelve months. At the end of the day, it's essential to consider more than just the factors above, if you want to understand the company properly. Keep in mind, when it comes to analysing a stock it's worth noting the risks involved. At Simply Wall St, we found 3 warning signs for Arrow Electronics and we think they deserve your attention. This note has only looked at a single factor that sheds light on the nature of Arrow Electronics' profit. But there is always more to discover if you are capable of focussing your mind on minutiae. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks with high insider ownership. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
08-05-2025
- Business
- Yahoo
1 Hated Stock that Should Get More Attention and 2 to Avoid
Wall Street's bearish price targets for the stocks in this article signal serious concerns. Such forecasts are uncommon in an industry where maintaining cordial corporate relationships often trumps delivering the hard truth. Whatever the consensus opinion may be, our team at StockStory cuts through the noise by conducting independent analysis to determine a company's long-term prospects. Keeping that in mind, here is one stock where you should be greedy instead of fearful and two where the skepticism is well-placed. Consensus Price Target: $118.26 (2.4% implied return) Founded as a single retail store, Arrow Electronics (NYSE:ARW) provides electronic components and enterprise computing solutions to businesses globally. Why Is ARW Risky? Flat sales over the last five years suggest it must find different ways to grow during this cycle Earnings per share have contracted by 32.1% annually over the last two years, a headwind for returns as stock prices often echo long-term EPS performance Diminishing returns on capital suggest its earlier profit pools are drying up Arrow Electronics is trading at $115.46 per share, or 9.8x forward P/E. If you're considering ARW for your portfolio, see our FREE research report to learn more. Consensus Price Target: $51.25 (5.2% implied return) With a century-long history of adapting to technological evolution, Avnet (NASDAQ:AVT) is a global electronic components distributor that connects manufacturers of semiconductors and other electronic parts with businesses that need these components. Why Does AVT Give Us Pause? Sales tumbled by 8.3% annually over the last two years, showing market trends are working against its favor during this cycle Earnings per share have dipped by 31% annually over the past two years, which is concerning because stock prices follow EPS over the long term Lacking free cash flow generation means it has few chances to reinvest for growth, repurchase shares, or distribute capital Avnet's stock price of $48.71 implies a valuation ratio of 9.7x forward P/E. To fully understand why you should be careful with AVT, check out our full research report (it's free). Consensus Price Target: $85.26 (5.5% implied return) With over 90 years of connecting the world's technologies, Amphenol (NYSE:APH) designs and manufactures connectors, cables, sensors, and interconnect systems that enable electrical and electronic connections across virtually every industry. Why Are We Backing APH? Market share has increased this cycle as its 15.2% annual revenue growth over the last two years was exceptional Dominant market position is represented by its $16.78 billion in revenue and gives it fixed cost leverage when sales grow Earnings growth has massively outpaced its peers over the last five years as its EPS has compounded at 19% annually At $80.84 per share, Amphenol trades at 33.9x forward P/E. Is now the time to initiate a position? Find out in our full research report, it's free. Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 175% over the last five years. Stocks that made our list in 2019 include now familiar names such as Nvidia (+2,183% between December 2019 and December 2024) as well as under-the-radar businesses like Axon (+711% five-year return). Find your next big winner with StockStory today for free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
05-05-2025
- Business
- Yahoo
Park-Ohio (PKOH) Reports Q1: Everything You Need To Know Ahead Of Earnings
Diversified manufacturing and supply chain services provider Park-Ohio (NASDAQ:PKOH) will be announcing earnings results tomorrow after the bell. Here's what to look for. Park-Ohio missed analysts' revenue expectations by 4.3% last quarter, reporting revenues of $388.4 million, flat year on year. It was a satisfactory quarter for the company, with an impressive beat of analysts' EBITDA estimates. Is Park-Ohio a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Park-Ohio's revenue to grow 1.9% year on year to $425.5 million, a reversal from the 1.4% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.84 per share. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Park-Ohio has missed Wall Street's revenue estimates four times over the last two years. Looking at Park-Ohio's peers in the engineered components and systems segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Arrow Electronics's revenues decreased 1.6% year on year, beating analysts' expectations by 7.2%, and Gates Industrial Corporation reported a revenue decline of 1.7%, topping estimates by 2.9%. Arrow Electronics traded up 3.6% following the results while Gates Industrial Corporation was also up 6.2%. Read our full analysis of Arrow Electronics's results here and Gates Industrial Corporation's results here. There has been positive sentiment among investors in the engineered components and systems segment, with share prices up 12.9% on average over the last month. Park-Ohio is up 10.3% during the same time. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Sign in to access your portfolio
