WallStSmart
CNXN

PC Connection Inc

NASDAQ: CNXN · TECHNOLOGY · ELECTRONICS & COMPUTER DISTRIBUTION

$63.38
-0.38% today

Updated 2026-04-29

Market cap
$1.60B
P/E ratio
19.38
P/S ratio
0.56x
EPS (TTM)
$3.27
Dividend yield
0.94%
52W range
$55 – $71
Volume
0.1M

PC Connection Inc (CNXN) Stock Valuation Analysis

Fair value estimate, historical valuation range, and quality signals for CNXN.

WallStSmart Verdict
Overvalued

Current price exceeds what fundamentals support. Risk/reward skewed unfavorably.

Smart Value Score: 45 / 100
P/E (TTM)
19.4x
vs 5Y median of 19.1x
PEG
1.68
Fair range
Margin of Safety
+36.48%
Fair value $102.56 vs $63.38
EV / EBITDA
0.0x

CNXN historical valuation range

Where current P/E sits in CNXN's own 5Y range.

NOW
12.8x
5Y Low
16.9x
25th
19.1x
Median
19.7x
75th
22.1x
5Y High
CNXN is trading more expensive than 60% of the last 5Y.
60th percentile · Above median

CNXN intrinsic value (DCF)

DCF-based fair value estimate vs current market price.

Current price
$63.38
Market value
Intrinsic value
$102.56
DCF estimate
Margin of safety
+36.48%
+61.8% upside to fair value

Intrinsic value calculated using discounted cash flow (DCF) model based on projected free cash flows, discount rate, and terminal growth assumptions. A positive margin of safety indicates the current price is below estimated fair value, providing a cushion against estimation error.

CNXN valuation signals

Quick-read green flags, caution flags, and risks based on current metrics.

!
PEG in fair range
PEG of 1.68 suggests price reflects growth fairly. Neither a bargain nor overpriced.
!
P/E in mid-range
P/E sits at the 60th percentile of the 5Y range. Neither cheap nor rich historically.
Strong margin of safety
Current price 36.5% below DCF intrinsic value estimate. Meaningful downside cushion.
Weak financial quality
Piotroski F-Score of 3/9 suggests deteriorating fundamentals. Valuation requires closer scrutiny.

P/E Ratio — History

Current: 19.38x

P/S Ratio — History

Current: 0.56x

Is CNXN overvalued in 2026?

PC Connection Inc (CNXN) currently trades at $63.38 per share with a market capitalization of $1,598,200,000.00. Based on our multi-factor framework, the stock appears richly valued with a Smart Value Score of 45/100. This score blends growth quality, financial health, and price attractiveness into a single institutional-grade read.

The stock trades at a P/E ratio of 19.4x, above its 5-year median of 19.1x. The PEG ratio of 1.68 points to a price that reasonably reflects expected earnings growth.

Looking at its own history, CNXN is currently trading more expensive than 60% of the last 5Y on P/E. This places it in the 60th percentile of its historical range, a reasonable but unremarkable position.

Our discounted cash flow model estimates CNXN's intrinsic value at $102.56 per share, against the current market price of $63.38. This implies a margin of safety of +36.48%. A meaningful cushion exists against model error, making this a reasonable risk-adjusted entry.

Financial quality is a concern. The Piotroski F-Score of 3/9 flags weakening fundamentals that deserve closer scrutiny before the valuation case can be fully trusted.

Bottom line: CNXN appears richly valued on our framework, with a Smart Value Score of 45/100. At current levels the risk/reward is skewed against the buyer. A materially lower price or significant operational improvement would be needed to change the picture.

Frequently asked questions

Is CNXN overvalued in 2026?

Based on a Smart Value Score of 45/100, CNXN appears overvalued. Current price exceeds what fundamentals currently justify.

What is CNXN's fair value?

Our DCF model estimates CNXN's intrinsic value at $102.56 per share, versus the current price of $63.38. This produces a margin of safety of +36.48%.

What P/E ratio does CNXN trade at?

CNXN trades at a P/E of 19.4x on trailing twelve-month earnings, compared to its 5-year median of 19.1x.

Is CNXN a buy based on valuation?

WallStSmart does not issue buy or sell recommendations. Our Smart Value Score of 45/100 reflects the combined read on growth, quality, and price. The profile skews cautious. Consider waiting for a better price or clearer operational improvement.

How does CNXN's valuation compare to its history?

On P/E, CNXN currently sits in the 60th percentile of its own 5Y range. That is above its long-run median relative to where it has traded over the period.

What is CNXN's Smart Value Score?

CNXN's Smart Value Score is 45/100. The Smart Value Score is a proprietary WallStSmart metric blending growth quality, financial health, and valuation attractiveness into a single 0-100 read. Scores above 75 are rare and indicate strong multi-factor alignment.