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TD SYNNEX
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$20.5B
Market Cap
15.3
P/E
1.02
PEG
10.3%
ROCE
10.0%
ROE
0.43
D/E
2.3%
OPM
-13.2%
% from 52W High
82
α RS
🔍 SNX is showing a high-conviction setup because it matches 3 of 37 tracked screener presets, RS Rating is 82, and an ECS of 82.4 last quarter. Net: Broad signal stack, not a recommendation. ? Conviction RS Rating ECS
Sources
Conviction 3/37 · RS Rating 82 · ECS 82.4
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🌏 Global Investor Returns
Currency-adjusted total returns for SNX including FX impact
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📈 Price History
Ratio Health
Excellent
Good
Average
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By Category
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About

TD SYNNEX Corporation operates as a distributor and solutions aggregator for the information technology (IT) ecosystem in the United States, Europe, and internationally.

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📈 Growth Pattern
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⭐ Superinvestors Holding SNX
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Manager Shares Value % of Fund Period
Jim Simons Renaissance Technologies LLC 162.0K $27.3M 0.04% Mar 2026
Steve Cohen Point72 Asset Management 50.2K $8.5M 0.01% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q2 2026
Revenue
$19.6B
+31.0% YoY
Operating Income
$615M
+48.5% YoY
Operating Margin
3.14%
+0.37pp YoY
Net Income
$390M
+55.8% YoY
What Went Right
  • Record consolidated results: non-GAAP gross billings of $28.9B grew 33.4% YoY and came in above guidance.
  • Hyve delivered another strong quarter: gross billings rose 117% YoY to $5.5B, with programs won from all top-five U.S.-based hyperscalers.
  • Distribution grew 22% YoY to $23.4B, and HP selected TD SYNNEX as one of two global distribution partners across its networking, cloud and AI portfolio including Juniper assets.
What to Watch
  • Free cash flow was a use of ~$330M in Q2, driven by working capital investment to fund Hyve's accelerated growth.
  • Hyve operating margin declined 50bps YoY to 3.3% on mix; management noted quarterly variability between manufacturing and supply chain services.
  • Management flagged potential Q3 component supply constraints (memory, CPUs) and PC unit elasticity risk from higher ASPs, although Q2 still saw PC unit growth.
Management Guidance
  • Q3 FY26 revenue guidance: $18.2–$19.0B.
  • Q3 FY26 non-GAAP gross billings guidance: $27.2–$28.2B, up ~22% YoY at the midpoint.
  • Q3 FY26 non-GAAP net income guidance: $341–$381M; non-GAAP diluted EPS: $4.25–$4.75, up ~26% at the midpoint.
  • Guidance assumes no material contribution from newly onboarded Hyve customers, with ramp expected late fiscal 2026 or early fiscal 2027.
Investor Lens
The thesis is stronger after this call. TD SYNNEX delivered record Q2 revenue of $19.6B (+31% YoY) and non-GAAP EPS of $4.85 (+62% YoY), beating guidance across both Distribution and Hyve. Hyve's position with all top-five U.S. hyperscalers and the new HP global distribution win reinforce the growth story. The main offset is the near-term free cash flow use from working capital investment in Hyve, with management expecting efficiency to improve as new programs mature.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Record quarter: billings $28.9B, up 33% YoY; EPS $4.85.
Revenue
Revenue was $19.575B, up 31.0% YoY (29.1% in constant currency). Non-GAAP gross billings were $28.879B, up 33.4% YoY. Distribution gross billings rose 22% to $23.4B, while Hyve gross billings jumped 117% to $5.5B.
Profitability
Non-GAAP operating income grew 48.5% YoY to $615M. Non-GAAP net income was $390M, up 55.8% YoY, and non-GAAP diluted EPS was $4.85, up 62.2% YoY and above the high end of guidance. GAAP net income was $334M, up 80.7% YoY.
Margins
Consolidated non-GAAP operating margin was 3.14%, up 37bps YoY. Distribution operating margin was 1.9%, up 19bps YoY, benefiting from an estimated 5-10bps of strategic inventory purchasing. Hyve operating margin was 3.3%, down 50bps YoY due to mix.
Balance Sheet
Free cash flow was a use of ~$330M. Net working capital closed at $4.9B with a gross cash conversion cycle of 17 days. Cash and cash equivalents were $1.1B, net leverage was 1.6x, and the company returned $151M to shareholders via $112M of buybacks and $39M of dividends.
Key Risks
Management flagged potential component supply constraints in Q3, especially memory and CPUs, and is watching PC unit elasticity as ASPs rise. Hyve's working capital needs and mix-driven margin pressure are also key risks, with guidance assuming no material Q3 contribution from newly onboarded Hyve customers.
Outlook
For Q3 FY26, TD SYNNEX expects revenue of $18.2–$19.0B, non-GAAP gross billings of $27.2–$28.2B, non-GAAP net income of $341–$381M, and non-GAAP diluted EPS of $4.25–$4.75. The company expects newly onboarded Hyve programs to ramp in late fiscal 2026 or early fiscal 2027.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-06-25
Record quarterly results driven by strong growth in both distribution and Hyve, with AI demand fueling broad-based gains. Non-GAAP gross billings rose 33% YoY, and Hyve delivered 117% growth. Guidance remains strong, though supply constraints and rising component costs are being monitored.
Q1 2026 Q1 2026 2026-03-31
Record Q1 results featured 24% year-over-year growth in non-GAAP gross billings and 69% growth in non-GAAP EPS, driven by strong performance in both Distribution and Hyve. Guidance for Q2 anticipates continued double-digit growth, with robust demand across technology categories and expanding programs with hyperscale customers.
Q4 2025 Q4 2025 2026-01-08
Record Q4 and FY results driven by double-digit growth in gross billings, margins, and EPS, with Hyve and all regions contributing strongly. Guidance for Q1 FY26 anticipates continued growth, with focus on sustainable cash flow and strategic investments.
Q3 2025 Q3 2025 2025-09-25
Record Q3 results with 12% gross billings and 25% EPS growth, driven by strong demand in cloud, AI, and PCs. HIVE and regional segments outperformed, with robust guidance for Q4 and FY25. Continued investment in digital strategy and capital returns highlighted.
Q2 2025 Q2 2025 2025-06-24
Q2 saw double-digit growth in gross billings and EPS above guidance, with broad-based strength across all regions and technologies. HYVE and software segments excelled, while the company reaffirmed its $1.1B free cash flow target and remains cautious amid macroeconomic uncertainties.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
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Information Sources:
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