ScanSource (NASDAQ:SCSC) Stock Moved Down to “Hold” by Zacks Research

Zacks Research cut shares of ScanSource (NASDAQ:SCSC) from a strong-buy rating to a hold rating in a report published on Tuesday morning,Zacks reports.

SCSC has been the subject of several other reports. Wall Street Zen upgraded ScanSource from a “buy” rating to a “strong-buy” rating in a report on Saturday, October 17th. Northcoast Research downgraded ScanSource from a “buy” rating to a “neutral” rating in a report on Monday, August 17th. Weiss Ratings raised shares of ScanSource from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, October 8th. Finally, Barclays lifted their target price on shares of ScanSource from $43.00 to $51.00 and gave the company an “equal weight” rating in a research note on Monday, October 12th. One research analyst has rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $51.00.

ScanSource Price Performance

Shares of NASDAQ:SCSC opened at $61.05 on Tuesday. ScanSource has a 12 month low of $33.76 and a 12 month high of $66.78. The stock has a market cap of $1.23 billion, a price-to-earnings ratio of 16.68, a PEG ratio of 0.82 and a beta of 1.25. The stock’s 50 day moving average price is $57.75 and its 200 day moving average price is $51.16. The company has a debt-to-equity ratio of 0.11, a current ratio of 1.76 and a quick ratio of 1.15.

ScanSource (NASDAQ:SCSC) last released its quarterly earnings data on Thursday, August 20th. The industrial products company reported $1.46 earnings per share for the quarter, topping the consensus estimate of $1.14 by $0.32. The business had revenue of $953.11 million during the quarter, compared to analyst estimates of $814.35 million. ScanSource had a return on equity of 10.10% and a net margin of 2.44%. The company’s revenue was up 17.3% compared to the same quarter last year. During the same period last year, the company posted $1.02 EPS. Equities research analysts anticipate that ScanSource will post 4.90 earnings per share for the current fiscal year.

Insider Activity at ScanSource

In other news, CFO Stephen Jones sold 10,000 shares of ScanSource stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $56.76, for a total transaction of $567,600.00. Following the sale, the chief financial officer owned 87,421 shares of the company’s stock, valued at approximately $4,962,015.96. This trade represents a 10.26% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Charles Mathis sold 3,000 shares of ScanSource stock in a transaction that occurred on Friday, September 11th. The stock was sold at an average price of $58.00, for a total value of $174,000.00. Following the sale, the director directly owned 25,027 shares in the company, valued at $1,451,566. The trade was a 10.70% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 95,632 shares of company stock valued at $5,484,582. Company insiders own 3.18% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. BlackRock Inc. acquired a new stake in ScanSource during the second quarter worth $200,140,000. Pzena Investment Management LLC bought a new stake in ScanSource in the 2nd quarter valued at $57,807,000. SG Americas Securities LLC increased its holdings in ScanSource by 74.4% in the 1st quarter. SG Americas Securities LLC now owns 494,988 shares of the industrial products company’s stock valued at $17,968,000 after buying an additional 211,232 shares during the period. Bank of New York Mellon Corp acquired a new position in shares of ScanSource in the 2nd quarter valued at $7,036,000. Finally, Pacer Advisors Inc. raised its stake in shares of ScanSource by 69.7% in the 1st quarter. Pacer Advisors Inc. now owns 130,788 shares of the industrial products company’s stock valued at $4,748,000 after buying an additional 53,702 shares in the last quarter. 97.91% of the stock is currently owned by institutional investors and hedge funds.

About ScanSource

ScanSource, Inc (NASDAQ: SCSC) is a technology distributor that connects manufacturers of business technology products with value-added resellers, systems integrators and other channel partners. The company provides products, services and expertise intended to help partners design, deploy and support technology solutions for business customers.

ScanSource’s offerings include point-of-sale and payment technology, barcode scanners, mobile computing devices, networking equipment, cybersecurity products, communications systems and cloud-based services.