Avnet Stock Analysis, Valuation (NASDAQ:AVT)

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$38.75 $0.04 (0.1%) AVT stock closing price May 24, 2018 (Closing)
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Avnet
Updated on : May 24, 2018
previous close
AVT 38.8 (0%)
NASDAQ 7424.4 (0%)
Closing Price On: May 24, 2018
stock rating
RATING: ★★★★★★★★★★ (0/5)
Industry :
Electronic Parts Distributors
Sector :
Computer and Technology
5 Quarter Revenue
Revenue Growth
2018-Q3
$billion
%
YOY GROWTH
Compared to the industry
Long Term Growth
5 Year CAGR:
-5.9%
Operating Profit
Operating Margin:
0.1%
Sector Average:
5.4%
5 Quarter Net Profit
Net Margins
2018-Q3
%
LTM Margin
Debt/Equity Ratio
Debt:
1.54B
Debt/Equity Ratio:
 0.31
Compared to the industry
Cash Flow
Operating cash flow:
$77.1M
Net Income:
-$320.1M
Dividend Yield
AVT dividend yield:
1.88%
PROS      CONS
PE Valuation
PS Valuation
Long Term Growth
Net Margins
High Debt Burden
ROIC
ROE
Rating: ★★★★★★★★★★ (0/5)
Relative Valuation
AVT PS :
0.2
Industry PS :
2.8
Sector:   Computer and Technology.   *PE adjusted for one time items.
Other Metrics
Return on Invested Capital:
-0.3%
Return on Equity:
-2.6%
Free Cash Flow Margin:
0.7%
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Avnet Stock Analysis

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Investors can watch the Amigobulls Avnet stock analysis video here. Our AVT analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Avnet, Inc. Stock Rating 2.3/5

Amigobulls AVT stock analysis uses latest quarter 2018 Q3 financial data like Avnet revenue growth, profit margins and cash flows. We compare Avnet valuation with its sector peers to gauge relative attractiveness of AVT stock. Our Avnet stock rating is based on company's fundamentals like balance sheet risk and cash flow position.

Should you buy AVT stock?

  • The price to earnings multiple of 11.4 is attractive when compared with the industry average PE ratio of 24.7.
  • The lower PS ratio 0.2 for AVT stock versus Electronic Parts Distributors industry average of 2.8 is a positive for the company.

Should you sell AVT stock?

  • Revenue declined at a CAGR of -5.9% over the last 5 years.
  • Avnet registered an average TTM Net loss of -0.7%.
  • Avnet is debt laden and has a high debt/equity ratio of  0.31.
  • Avnet has a negative ROIC (Return on Invested Capital) of -0.3%.
  • A negative ROE of -2.6% indicates that the company is not able to generate profits with the money shareholders have invested.

Comments on this video and Avnet stock

Amigobulls Avnet stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of AVT stock. The fundamentals of a company are vital to identify long-term investment opportunities.

Avnet revenue growth is an indicator of the demand for a company's products while profit margin is indicative of company's pricing power and pricing strategy. One can also combine technical analysis and fundamental analysis to get a holistic picture about AVT stock.