Arrow Electronics (NYSE: ARW) received a downgrade from Wall Street Zen, shifting from a “buy” to a “hold” rating, according to a research report published on October 28, 2023. This decision reflects a broader reassessment of the company’s stock by various analysts in recent weeks.
Mixed Opinions from Analysts
In addition to Wall Street Zen’s downgrade, several other equities analysts have provided their insights on Arrow Electronics. On October 25, Weiss Ratings reaffirmed a “hold (c)” rating for the company. Meanwhile, Wells Fargo & Company revised its price target, lowering it from $98.00 to $94.00 and categorized the stock as “underweight.” On the other hand, Zacks Research upgraded Arrow Electronics from a “hold” to a “strong-buy” rating on October 26, 2023.
Overall, the current consensus among analysts shows one strong buy, one hold, and two sell ratings. According to data from MarketBeat, Arrow Electronics has an average rating of “hold” and a consensus target price of $102.00.
Quarterly Earnings Exceed Expectations
Arrow Electronics recently reported its quarterly earnings on October 30, 2023. The company announced earnings per share (EPS) of $2.41, surpassing analysts’ expectations of $2.28 by $0.13. The firm’s revenue for the quarter reached $7.71 billion, exceeding the forecast of $7.67 billion.
The company’s net margin stood at 1.64% with a return on equity of 8.37%. Year-over-year, Arrow Electronics showed a significant revenue increase of 13.0%, compared to $2.38 EPS the same quarter last year. For the fourth quarter of 2025, the firm has set an EPS guidance of $3.440 to $3.640.
Equities analysts predict that Arrow Electronics will achieve an EPS of $10.57 for the current fiscal year.
Institutional Investors’ Activities
Recent activities among institutional investors indicate a growing interest in Arrow Electronics. Root Financial Partners LLC acquired a new position valued at approximately $26,000 during the third quarter. Farther Finance Advisors LLC increased its stake by 84.2% in the second quarter, now holding 221 shares worth around $28,000.
Other notable changes include Operose Advisors LLC purchasing a new stake valued at $31,000 in the first quarter, while True Wealth Design LLC expanded its holdings by 660.0% during the second quarter, bringing its total to 266 shares worth $34,000. Additionally, Hantz Financial Services Inc. increased its position by an astonishing 1,547.1% during the same period.
Currently, institutional investors hold approximately 99.34% of Arrow Electronics’ stock, reflecting a strong confidence in the company’s market position.
Arrow Electronics, headquartered in the United States, provides a range of products and services to industrial and commercial users of electronic components and enterprise computing solutions across multiple regions, including the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company operates through two primary segments: Global Components and Global Enterprise Computing Solutions.
As analysts continue to evaluate Arrow Electronics’ performance and market conditions, the company remains a key player in the technology sector, with ongoing developments likely to shape its future trajectory.
