PC Connection (NASDAQ:CNXN) Hits New 1-Year High – Here’s Why

PC Connection, Inc. (NASDAQ:CNXN) hit a new 52-week high on Wednesday . The company traded as high as $88.35 and last traded at $87.3090, with a volume of 93108 shares changing hands. The stock had previously closed at $85.20.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on CNXN shares. Weiss Ratings cut shares of PC Connection from a “buy (b)” rating to a “buy (b-)” rating in a report on Wednesday. Zacks Research upgraded PC Connection from a “hold” rating to a “strong-buy” rating in a report on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating and one has issued a Buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Strong Buy”.

PC Connection Trading Down 0.8%

The company has a market cap of $2.18 billion, a PE ratio of 22.87, a P/E/G ratio of 2.09 and a beta of 0.85. The business’s 50-day simple moving average is $81.55 and its 200-day simple moving average is $71.13.

PC Connection (NASDAQ:CNXN) last posted its quarterly earnings results on Wednesday, July 29th. The company reported $1.31 EPS for the quarter, beating the consensus estimate of $1.00 by $0.31. PC Connection had a net margin of 3.21% and a return on equity of 10.90%. The business had revenue of $854.00 million for the quarter, compared to analysts’ expectations of $764.79 million. On average, research analysts predict that PC Connection, Inc. will post 4.18 earnings per share for the current fiscal year.

PC Connection Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, August 28th. Investors of record on Tuesday, August 11th were given a dividend of $0.20 per share. The ex-dividend date of this dividend was Tuesday, August 11th. This represents a $0.80 dividend on an annualized basis and a yield of 0.9%. PC Connection’s dividend payout ratio (DPR) is presently 21.16%.

Insider Buying and Selling

In other PC Connection news, Chairman Patricia Gallup sold 7,142 shares of the company’s stock in a transaction dated Monday, September 14th. The stock was sold at an average price of $85.42, for a total value of $610,069.64. Following the transaction, the chairman directly owned 6,934,901 shares of the company’s stock, valued at $592,379,243.42. This represents a 0.10% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Insiders sold a total of 42,852 shares of company stock valued at $3,370,667 in the last quarter. Insiders own 56.60% of the company’s stock.

Institutional Investors Weigh In On PC Connection

Institutional investors have recently made changes to their positions in the company. Parallel Advisors LLC increased its holdings in PC Connection by 200.4% in the first quarter. Parallel Advisors LLC now owns 709 shares of the company’s stock worth $41,000 after buying an additional 473 shares during the last quarter. Meeder Asset Management Inc. acquired a new stake in PC Connection in the first quarter valued at approximately $44,000. Quantbot Technologies LP bought a new stake in PC Connection in the second quarter worth approximately $105,000. Fifth Third Bancorp grew its position in PC Connection by 1,551.2% in the first quarter. Fifth Third Bancorp now owns 2,675 shares of the company’s stock worth $156,000 after acquiring an additional 2,513 shares in the last quarter. Finally, Arizona State Retirement System acquired a new position in shares of PC Connection during the 2nd quarter worth $229,000. 42.85% of the stock is currently owned by institutional investors and hedge funds.

About PC Connection

PC Connection, Inc (NASDAQ: CNXN) is an information technology solutions provider serving businesses, government agencies, educational institutions and other organizations. The company supplies technology products and provides services designed to help customers plan, implement and manage their IT environments.

Its offerings include computers and mobile devices, servers, storage systems, networking equipment, software, peripherals and communications products. PC Connection also provides professional and lifecycle services, including consulting, systems integration, cloud and data-center solutions, cybersecurity, managed services, deployment, configuration and technical support.

Founded in 1982, the company operates primarily in the United States through brands and business units that include Connection, GovConnection and MoreDirect.