WallStSmart

Arrow Electronics Inc (ARW)vsAvnet Inc (AVT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arrow Electronics Inc generates 30% more annual revenue ($35.92B vs $27.63B). ARW leads profitability with a 2.3% profit margin vs 1.2%. ARW appears more attractively valued with a PEG of 0.95. ARW earns a higher WallStSmart Score of 75/100 (B).

ARW

Strong Buy

75

out of 100

Grade: B

Growth: 7.3Profit: 4.5Value: 6.0Quality: 5.5
Piotroski: 3/9Altman Z: 1.94

AVT

Strong Buy

65

out of 100

Grade: B-

Growth: 8.0Profit: 4.5Value: 3.3Quality: 7.0
Piotroski: 4/9Altman Z: 3.01
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ARWSignificantly Overvalued (-74.1%)

Margin of Safety

-74.1%

Fair Value

$90.63

Current Price

$219.10

$128.47 premium

UndervaluedFair: $90.63Overvalued
AVTSignificantly Overvalued (-39.4%)

Margin of Safety

-39.4%

Fair Value

$47.60

Current Price

$98.25

$50.65 premium

UndervaluedFair: $47.60Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ARW5 strengths · Avg: 8.4/10
Revenue GrowthGrowth
31.8%10/10

Revenue surging 31.8% year-over-year

PEG RatioValuation
0.958/10

Growing faster than its price suggests

P/E RatioValuation
14.0x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

EPS GrowthGrowth
46.5%8/10

Earnings expanding 46.5% YoY

AVT4 strengths · Avg: 9.5/10
Revenue GrowthGrowth
47.7%10/10

Revenue surging 47.7% year-over-year

EPS GrowthGrowth
1969.0%10/10

Earnings expanding 1969.0% YoY

Altman Z-ScoreHealth
3.0110/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Areas to Watch

ARW4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.944/10

Grey zone — moderate risk

Profit MarginProfitability
2.3%3/10

2.3% margin — thin

Operating MarginProfitability
4.0%3/10

Operating margin of 4.0%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

AVT4 concerns · Avg: 2.8/10
Return on EquityProfitability
4.3%3/10

ROE of 4.3% — below average capital efficiency

Profit MarginProfitability
1.2%3/10

1.2% margin — thin

Operating MarginProfitability
3.9%3/10

Operating margin of 3.9%

PEG RatioValuation
2.652/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : ARW

The strongest argument for ARW centers on Revenue Growth, PEG Ratio, P/E Ratio. Revenue growth of 31.8% demonstrates continued momentum. PEG of 0.95 suggests the stock is reasonably priced for its growth.

Bull Case : AVT

The strongest argument for AVT centers on Revenue Growth, EPS Growth, Altman Z-Score. Revenue growth of 47.7% demonstrates continued momentum.

Bear Case : ARW

The primary concerns for ARW are Altman Z-Score, Profit Margin, Operating Margin. Thin 2.3% margins leave little buffer for downturns.

Bear Case : AVT

The primary concerns for AVT are Return on Equity, Profit Margin, Operating Margin. Thin 1.2% margins leave little buffer for downturns.

Key Dynamics to Monitor

ARW carries more volatility with a beta of 1.19 — expect wider price swings.

AVT is growing revenue faster at 47.7% — sustainability is the question.

ARW generates stronger free cash flow (297M), providing more financial flexibility.

Monitor ELECTRONICS & COMPUTER DISTRIBUTION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ARW scores higher overall (75/100 vs 65/100) and 31.8% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Arrow Electronics Inc

TECHNOLOGY · ELECTRONICS & COMPUTER DISTRIBUTION · USA

Arrow Electronics, Inc. provides products, services, and solutions to industrial and commercial users of electronic components and enterprise computing solutions in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Centennial, Colorado.

Visit Website →

Avnet Inc

TECHNOLOGY · ELECTRONICS & COMPUTER DISTRIBUTION · USA

Avnet, Inc., a technology solutions company, markets, sells and distributes electronic components. The company is headquartered in Phoenix, Arizona.

Visit Website →

Want to dig deeper into these stocks?