Avnet (NASDAQ:AVT) Shares Gap Up – Here’s Why

Avnet, Inc. (NASDAQ:AVT)’s share price gapped up before the market opened on Wednesday. The stock had previously closed at $89.65, but opened at $94.29. Avnet shares last traded at $92.6750, with a volume of 24,631 shares traded.

Analyst Ratings Changes

A number of research analysts have recently commented on the company. Wall Street Zen raised Avnet from a “buy” rating to a “strong-buy” rating in a report on Saturday, October 17th. Weiss Ratings upgraded Avnet from a “buy (b-)” rating to a “buy (b)” rating in a report on Friday, October 9th. Truist Financial upped their target price on Avnet from $95.00 to $110.00 and gave the stock a “buy” rating in a research report on Thursday, August 6th. Zacks Research cut shares of Avnet from a “strong-buy” rating to a “hold” rating in a research note on Monday, October 19th. Finally, Wells Fargo & Company raised their target price on shares of Avnet from $70.00 to $72.00 and gave the company an “underweight” rating in a research note on Monday, July 20th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Avnet has an average rating of “Moderate Buy” and a consensus price target of $93.25.

Avnet Stock Performance

The stock has a market cap of $7.60 billion, a P/E ratio of 23.17, a P/E/G ratio of 0.29 and a beta of 1.06. The firm has a 50 day moving average of $94.76 and a two-hundred day moving average of $80.55. The company has a debt-to-equity ratio of 0.49, a quick ratio of 0.97 and a current ratio of 1.78.

Avnet (NASDAQ:AVT) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $2.28 EPS for the quarter, topping the consensus estimate of $1.80 by $0.48. Avnet had a return on equity of 9.57% and a net margin of 1.21%. The company had revenue of $8.30 billion for the quarter, compared to the consensus estimate of $7.56 billion. During the same period in the previous year, the business posted $0.81 EPS. The company’s revenue for the quarter was up 47.7% on a year-over-year basis. Avnet has set its Q1 2027 guidance at 2.800-2.900 EPS. On average, research analysts predict that Avnet, Inc. will post 10.45 EPS for the current fiscal year.

Avnet Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 23rd. Investors of record on Wednesday, September 9th were given a dividend of $0.37 per share. This represents a $1.48 dividend on an annualized basis and a yield of 1.6%. This is an increase from Avnet’s previous quarterly dividend of $0.35. The ex-dividend date of this dividend was Wednesday, September 9th. Avnet’s payout ratio is presently 37.09%.

Insider Buying and Selling at Avnet

In other news, CEO Philip R. Gallagher sold 51,900 shares of the business’s stock in a transaction dated Wednesday, August 12th. The shares were sold at an average price of $98.46, for a total transaction of $5,110,074.00. Following the transaction, the chief executive officer owned 168,923 shares in the company, valued at approximately $16,632,158.58. The trade was a 23.50% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, SVP Michael Ryan Mccoy sold 32,052 shares of the company’s stock in a transaction dated Wednesday, August 19th. The shares were sold at an average price of $91.10, for a total transaction of $2,919,937.20. Following the transaction, the senior vice president directly owned 76,674 shares of the company’s stock, valued at $6,985,001.40. This represents a 29.48% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 2.00% of the company’s stock.

Institutional Trading of Avnet

A number of hedge funds have recently modified their holdings of the company. IPG Investment Advisors LLC bought a new stake in shares of Avnet in the 3rd quarter valued at about $256,000. Greenleaf Trust boosted its stake in Avnet by 8.5% during the 3rd quarter. Greenleaf Trust now owns 6,891 shares of the company’s stock worth $689,000 after acquiring an additional 537 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. acquired a new position in Avnet during the third quarter valued at approximately $1,847,000. Vise Technologies Inc. acquired a new position in Avnet during the third quarter valued at approximately $719,000. Finally, MGO One Seven LLC grew its holdings in Avnet by 54.1% during the third quarter. MGO One Seven LLC now owns 8,296 shares of the company’s stock valued at $829,000 after purchasing an additional 2,911 shares during the period. Institutional investors own 95.78% of the company’s stock.

Avnet Company Profile

Avnet, Inc is a global technology distributor that helps manufacturers and design engineers source electronic components and develop products. The company supplies semiconductors, embedded processors, memory, connectivity products, sensors, power-management components and other electronic parts used in industrial, automotive, communications, computing, aerospace and defense applications.

In addition to component distribution, Avnet provides engineering and design services, supply-chain management, product customization, logistics, and technical support.