📊 AI Stock Rating — Summary

Arrow Electronics reported quarterly revenue of $7.71 billion and net income of approximately $109 million, yielding an EPS of $2.11. With a net margin of 1.42%, profitability appears modest in comparison to revenue scale. However, significant challenges are observed in cash flow, with an operating cash flow deficit of $282 million and negative free cash flow at $238 million. Year-over-year growth context is limited by the current data, but concerns regarding liquidity and cash usage arise. Balancing its liabilities, ARW maintains equity of $6.48 billion and net debt of approximately $2.92 billion. Regarding shareholder returns, ARW's lack of dividend payments is offset by historical share price dynamics. Analyst price targets range from $100 to $150, with a consensus of $128.8, suggesting potential valuation upside. Valuation ratios, not fully provided, need further analysis for precise conclusion.

AI Score Breakdown

Revenue Growth — Score: 5/10

Revenue at $7.71 billion lacks growth rate context, but remains substantial. Clarity on growth drivers and sustainability is absent, impacting score.

Profitability — Score: 4/10

EPS of $2.11 with a net margin of 1.42% indicates modest profitability. Efficiency measures and trend insights would provide deeper evaluation.

Cash Flow Quality — Score: 3/10

Significant negative free cash flow of $238 million raises concerns about liquidity and operational efficiency. Dividends and buybacks are absent, adding pressure on this score.

Leverage & Balance Sheet — Score: 6/10

Equity stands at $6.48 billion with manageable net debt of $2.92 billion. Total assets support financial resilience, but cash flow issues need addressing.

Shareholder Returns — Score: 5/10

With no recent dividends and limited share buybacks, shareholder value hinges on market performance. Price targets imply potential upside, aligning with a balanced score.

Analyst Sentiment & Valuation — Score: 6/10

Analyst targets range widely, indicating varied market perceptions. With a consensus of $128.8, the valuation context hints at potential underpricing.

⚠ AI-generated — informational only, not financial advice.