TD SYNNEX (NYSE:SNX) Shares Up 4.1% – What’s Next?

Shares of TD SYNNEX Corporation (NYSE:SNX) rose 4.1% on Wednesday. The company traded as high as $297.58 and last traded at $294.9030. Approximately 843,437 shares changed hands during mid-day trading, an increase of 7% from the average daily volume of 791,496 shares. The stock had previously closed at $283.25.

Key Headlines Impacting TD SYNNEX

Here are the key news stories impacting TD SYNNEX this week:

• Positive Sentiment: TD SYNNEX reported third-quarter EPS of $5.68, well above the roughly $4.70 consensus, while revenue rose 37.7% year over year to $21.56 billion, exceeding expectations. TD SYNNEX Q3 earnings report
• Positive Sentiment: Management issued fourth-quarter guidance above Wall Street forecasts, calling for EPS of $5.65 to $6.15 versus an estimated $4.80, and revenue of $21.8 billion to $22.6 billion versus an estimated $19.4 billion. TD SYNNEX results and guidance
• Positive Sentiment: Data-center and AI-related demand remains strong, particularly through Hyve Solutions, and the company said demand is not showing signs of weakening. TD SYNNEX data-center demand article
• Positive Sentiment: The board declared a quarterly dividend of $0.48 per share, or $1.92 annualized, with a yield of approximately 0.7%.
• Neutral Sentiment: TD SYNNEX’s distribution business remains the main earnings contributor, while AI-driven Hyve growth is expanding rapidly but carries lower margins and greater inventory requirements.
• Negative Sentiment: The primary concern was nearly $1 billion of free-cash-flow usage during the quarter. Rapid growth is consuming working capital through higher inventory and receivables, raising questions about cash conversion and execution. TD SYNNEX AI growth and cash flow analysis
• Negative Sentiment: Several reports characterized the reaction as a sell-off despite the earnings and guidance beats, with at least one analyst downgrading the stock because of cash-flow strain. Continued insider selling—70 reported sales and no purchases over the past six months—may also weigh on sentiment.

Analyst Ratings Changes

A number of research firms recently commented on SNX. UBS Group upped their price objective on shares of TD SYNNEX from $310.00 to $352.00 and gave the company a “buy” rating in a research report on Friday, June 26th. Barclays raised their target price on shares of TD SYNNEX from $278.00 to $287.00 and gave the stock an “equal weight” rating in a report on Tuesday, September 8th. Weiss Ratings reissued a “buy (b)” rating on shares of TD SYNNEX in a research report on Monday, September 14th. Barrington Research upped their target price on shares of TD SYNNEX from $202.00 to $325.00 and gave the stock an “outperform” rating in a research note on Friday, June 26th. Finally, Zacks Research cut TD SYNNEX from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, August 25th. Eight equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $305.75.

TD SYNNEX Stock Performance

The stock has a market capitalization of $20.76 billion, a P/E ratio of 18.58, a P/E/G ratio of 0.79 and a beta of 1.43. The company has a quick ratio of 0.64, a current ratio of 1.20 and a debt-to-equity ratio of 0.40. The stock has a 50 day simple moving average of $256.95 and a two-hundred day simple moving average of $237.22.

TD SYNNEX (NYSE:SNX) last issued its earnings results on Thursday, September 24th. The business services provider reported $5.68 earnings per share for the quarter, topping analysts’ consensus estimates of $4.70 by $0.98. TD SYNNEX had a net margin of 1.63% and a return on equity of 15.37%. The business had revenue of $21.56 billion for the quarter, compared to the consensus estimate of $18.91 billion. During the same period in the previous year, the company earned $3.58 earnings per share. The firm’s revenue for the quarter was up 37.7% on a year-over-year basis. TD SYNNEX has set its Q4 2026 guidance at 5.650-6.150 EPS. On average, equities analysts forecast that TD SYNNEX Corporation will post 18.16 EPS for the current fiscal year.

TD SYNNEX Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, October 30th. Shareholders of record on Friday, October 16th will be issued a dividend of $0.48 per share. The ex-dividend date of this dividend is Friday, October 16th. This represents a $1.92 annualized dividend and a yield of 0.7%. TD SYNNEX’s dividend payout ratio (DPR) is currently 13.74%.

Insider Activity

In related news, Director Richard T. Hume sold 5,000 shares of the company’s stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $262.21, for a total value of $1,311,050.00. Following the transaction, the director directly owned 13,537 shares in the company, valued at approximately $3,549,536.77. This represents a 26.97% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Ann F. Vezina sold 1,273 shares of TD SYNNEX stock in a transaction that occurred on Friday, July 31st. The shares were sold at an average price of $256.05, for a total transaction of $325,951.65. Following the completion of the sale, the director owned 5,828 shares of the company’s stock, valued at approximately $1,492,259.40. The trade was a 17.93% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 11,273 shares of company stock valued at $2,851,852 in the last ninety days. 0.70% of the stock is currently owned by insiders.

Institutional Trading of TD SYNNEX

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Weiss Asset Management LP acquired a new stake in TD SYNNEX in the first quarter valued at approximately $4,435,000. Intech Investment Management LLC boosted its holdings in shares of TD SYNNEX by 38.4% during the 4th quarter. Intech Investment Management LLC now owns 21,578 shares of the business services provider’s stock valued at $3,242,000 after acquiring an additional 5,982 shares in the last quarter. Deutsche Bank AG bought a new stake in TD SYNNEX during the 2nd quarter worth $7,146,000. State of Wyoming acquired a new position in TD SYNNEX in the 2nd quarter worth about $3,378,000. Finally, BlackRock Inc. bought a new position in TD SYNNEX in the second quarter valued at about $1,958,683,000. Institutional investors own 84.00% of the company’s stock.

TD SYNNEX Company Profile

TD SYNNEX Corporation (NYSE: SNX) is a global technology distributor and solutions aggregator that connects technology manufacturers with resellers, systems integrators, managed service providers and other business partners. The company helps its partners design, procure, configure and deliver technology solutions to organizations across a range of industries.

Its portfolio includes personal computing devices, peripherals, networking equipment, data-center infrastructure, cybersecurity products, software and cloud services.