Avnet Stock Buy Hold or Sell Recommendation

AVT
 Stock
  

USD 36.12  0.14  0.39%   

Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Avnet Inc is 'Strong Hold'. Macroaxis provides Avnet buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Avnet positions. The advice algorithm takes into account all of Avnet's available fundamental, technical, and predictive indicators you will find on this site.
  
The advice is provided from Avnet's buy-and-hold perspective. Please continue to Avnet Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Avnet and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Avnet Inc.

Execute Avnet Buy or Sell Advice

The Avnet recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Avnet Inc. Macroaxis does not own or have any residual interests in Avnet Inc or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Avnet's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell AvnetBuy Avnet
Strong Hold

Volatility

Details

Hype Condition

Details

Current Valuation

Details

Odds of Distress

Details

Economic Sensitivity

Details

Analyst Consensus

Details

Reporting Quality (M-Score)

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For the selected time horizon Avnet Inc has a Risk Adjusted Performance of (0.12), Jensen Alpha of (0.11), Total Risk Alpha of (0.01821) and Treynor Ratio of (0.24)
Avnet advice module can be used to check and cross-verify current investment recommendation provided by analysts analyzing the company's potential to grow using all of fundamental, technical, data market data available at the time. To make sure Avnet is not overpriced, please confirm all Avnet Inc fundamentals, including its debt to equity, total asset, and the relationship between the ebitda and earnings per share . Given that Avnet Inc has a price to earning of 22.71 X, we suggest you to validate Avnet Inc market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Avnet Trading Alerts and Improvement Suggestions

Avnet Inc generated a negative expected return over the last 90 days
Avnet Inc has about 199.46 M in cash with (126 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 2.04.
Over 99.0% of the company shares are held by institutions such as insurance companies
On 28th of September 2022 Avnet paid $ 0.29 per share dividend to its current shareholders
Latest headline from MacroaxisInsider: Acquisition by Brenda Freeman of 143 shares of Avnet subject to Rule 16b-3

Avnet current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Avnet analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Avnet analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price50.00
Target Median Price48.50
Target High Price60.00
Recommendation Mean2.80
Number Of Analyst Opinions8
Target Low Price43.00
Average Consensus Hold
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Avnet Returns Distribution Density

The distribution of Avnet's historical returns is an attempt to chart the uncertainty of Avnet's future price movements. The chart of the probability distribution of Avnet stock daily returns describes the distribution of returns around its average expected value. We use Avnet Inc price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Avnet returns is essential to provide solid investment advice for Avnet.
Mean Return-0.21Value At Risk-3.42
Potential Upside2.63Standard Deviation1.94
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Avnet historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Avnet Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Avnet is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Avnet Inc backward and forwards among themselves. Avnet's institutional investor refers to the entity that pools money to purchase Avnet's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Security TypeSharesValue
Vanguard Group IncCommon Shares10.8 M464.1 M
Pzena Investment Management LlcCommon Shares10.7 M460.6 M
Blackrock IncCommon Shares9.3 M397.9 M
Dimensional Fund Advisors LpCommon Shares5.1 M216.9 M
State Street CorpCommon Shares3.5 M149.1 M
American Century Companies IncCommon Shares2.6 M112.5 M
Alliancebernstein LpCommon Shares2.2 M95.9 M
Note, although Avnet's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Avnet Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Avnet or Technology sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Avnet's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Avnet stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
-0.11
β
Beta against DOW0.93
σ
Overall volatility
1.93
Ir
Information ratio -0.05

Avnet Volatility Alert

Avnet Inc exhibits very low volatility with skewness of -0.77 and kurtosis of 1.25. However, we advise investors to further study Avnet Inc technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Avnet's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Avnet's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Avnet Fundamentals Vs Peers

Comparing Avnet's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Avnet's direct or indirect competition across all of the common fundamentals between Avnet and the related equities. This way, we can detect undervalued stocks with similar characteristics as Avnet or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Avnet's fundamental indicators could also be used in its relative valuation, which is a method of valuing Avnet by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Avnet to competition
FundamentalsAvnetPeer Average
Return On Equity12.96 %(0.31) %
Return On Asset5.84 %(0.14) %
Profit Margin2.29 %(1.27) %
Operating Margin4.12 %(5.51) %
Current Valuation6.1 B16.62 B
Shares Outstanding99.22 M571.82 M
Shares Owned by Insiders0.88 %10.09 %
Shares Owned by Institutions98.53 %39.21 %
Number of Shares Shorted4.45 M4.71 M
Price to Earning22.71 X28.72 X
Price to Book0.92 X9.51 X
Price to Sales0.16 X11.42 X
Revenue23.16 B9.43 B
Gross Profit2.24 B27.38 B
EBITDA954.83 M3.9 B
Net Income530.91 M570.98 M
Cash and Equivalents199.46 M2.7 B
Cash per Share2.04 X5.01 X
Total Debt1.62 B5.32 B
Debt to Equity0.38 %48.70 %
Current Ratio2.02 X2.16 X
Book Value Per Share39.58 X1.93 K
Cash Flow from Operations(126 M)971.22 M
Short Ratio4.50 X4.00 X
Earnings Per Share1.61 X3.12 X
Price to Earnings To Growth0.65 X4.89 X
Number of Employees14.5 K18.84 K
Beta1.29-0.15
Market Capitalization3.62 B19.03 B
Total Asset11.24 B29.47 B
Retained Earnings3.32 B9.33 B
Working Capital4.06 B1.48 B
Current Asset9 B9.34 B
   Acquisition by Brenda Freeman of 143 shares of Avnet subject to Rule 16b-3 [view details]

Avnet Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Avnet . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Avnet Buy or Sell Advice

When is the right time to buy or sell Avnet Inc? Buying financial instruments such as Avnet Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Avnet in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Emerging Markets Thematic Idea Now

Emerging Markets
Emerging Markets Theme
Fund or Etfs that invest in markets of developing countries. The Emerging Markets theme has 40 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Emerging Markets Theme or any other thematic opportunities.
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Please continue to Avnet Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.

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When running Avnet Inc price analysis, check to measure Avnet's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Avnet is operating at the current time. Most of Avnet's value examination focuses on studying past and present price action to predict the probability of Avnet's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Avnet's price. Additionally, you may evaluate how the addition of Avnet to your portfolios can decrease your overall portfolio volatility.
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Is Avnet's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Avnet. If investors know Avnet will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Avnet listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Avnet Inc is measured differently than its book value, which is the value of Avnet that is recorded on the company's balance sheet. Investors also form their own opinion of Avnet's value that differs from its market value or its book value, called intrinsic value, which is Avnet's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Avnet's market value can be influenced by many factors that don't directly affect Avnet's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Avnet's value and its price as these two are different measures arrived at by different means. Investors typically determine Avnet value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Avnet's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.