- Arrow Electronics (ARW) demonstrates exceptional momentum, recently setting new all-time highs.
- Shares have nearly doubled over the past year.
- ARW stock maintains a 100% “Buy” rating from Barchart.
- Analyst sentiment is positive, with most price targets between $200 and $250.
Today’s Featured Stock
Valued at $12.3 billion, Arrow Electronics (ARW) is one of the world’s largest distributors of electronic components and enterprise computing products.
What I’m Watching
I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals and superior current momentum. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. ARW checks those boxes. The Trend Seeker issued a new “Buy” signal on Sept. 22. The stock has gained 8.37% since that signal.
Barchart’s Technical Indicators for Arrow Electronics
Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.
Arrow Electronics hit an all-time high of $249.43 on Oct. 5.
- Arrow Electronics has a Weighted Alpha of 103.00.
- ARW has a 100% “Buy” opinion from Barchart.
- The stock has gained 94.69% over the past 52 weeks.
- Arrow Electronics has its Trend Seeker “Buy” signal intact.
- The stock recently traded at $232.44 with a 50-day moving average of $216.99.
- ARW had 5 highs and gained 7.79% in the last month.
- 60-month beta of 1.16.
- Relative Strength Index (RSI) is at 57.29.
- There’s a technical support level around $238.96.
Don’t Forget the Fundamentals
- $12.3 billion market capitalization.
- 13.75x trailing price-earnings ratio.
- Revenue is expected to grow 29.79% this year and another 7.79% next year.
- Earnings are estimated to increase 96.32% this year and an additional 10.58% next year.
Analyst and Investor Sentiment on Arrow Electronics
- Wall Street analysts followed by Barchart give the stock 2 “Strong Buy,” 1 “Moderate Buy,” 1 “Hold,” and 1 “Strong Sell” opinion with price targets from $200 to $250.
- Value Line rates the stock “Highest” with price targets from $215 to $315.
- Morningstar thinks the stock is 17% overvalued.
- CFRA’s MarketScope rates the stock as “Buy” with a price target of $245.
- 8,590 investors are following the stock on Seeking Alpha, which rates it as a “Strong Buy.”
- TipRanks’ analysts have a consensus of $230.
- Short interest is 2.92% of the float with 2.69 days to cover the float.
The Bottom Line on Arrow Electronics
The stock stands out with deeply discounted valuation metrics, exceptional growth compared to its sector, healthy profitability, remarkable momentum, and positive analyst revisions, collectively supporting a very optimistic outlook.
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio, it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.