Arrow Electronics, Inc. (ARW) vs Climb Global Solutions, Inc. (CLMB)

Arrow Electronics, Inc. and Climb Global Solutions, Inc. are both Electronics & Computer Distribution companies. Arrow Electronics, Inc. is the larger, with a market value of $9.0B against $743.5M — 12.1× the size. Arrow Electronics, Inc. trades at the lower P/E: 9.1× against 30.7×. Arrow Electronics, Inc. grew revenue faster over the last twelve months: 32.5% against 24.2%. Climb Global Solutions, Inc. has the higher net margin (3.04% vs 2.62%) and the higher return on invested capital (28.6% vs 9.33%). Across the 22 metrics below, Arrow Electronics, Inc. leads on 11 and Climb Global Solutions, Inc. on 11.

Valuation

Metric ARW CLMB Electronics & Computer Distribution median
P/E 9.06 30.75 13.29
P/S 0.24 0.95 0.38
P/B 1.27 5.43 1.58
Price to free cash flow 13.75 24.20 17.66
EV/EBITDA 7.13 16.77 10.46
EV/Sales 0.30 0.86 0.33
Earnings yield 11.04% 3.25% 6.77%
Free cash flow yield 7.27% 4.13% 2.07%

Profitability

Metric ARW CLMB Electronics & Computer Distribution median
Gross margin 11.26% 15.50% 14.23%
Operating margin 3.76% 3.99% 2.99%
Net margin 2.62% 3.04% 1.99%
Free cash flow margin 1.72% 3.91% 0.71%
Return on equity 14.86% 19.26% 9.15%
Return on assets 2.93% 5.24% 3.52%
Return on invested capital 9.33% 28.60% 8.25%

Growth

Metric ARW CLMB Electronics & Computer Distribution median
Revenue growth (TTM) 32.46% 24.23% 14.77%
EPS growth (last fiscal year) 49.93% 14.29% 17.81%
Revenue growth, 5-year CAGR 1.48% 21.00% 1.79%
Net income growth, 5-year CAGR (0.45%) 37.05% 4.24%

Health

Metric ARW CLMB Electronics & Computer Distribution median
Debt to equity 0.38 0.00 0.37
Current ratio 1.20 1.14 1.39
Net debt to EBITDA 2.81 (0.97) 1.23

Dividend

Metric ARW CLMB Electronics & Computer Distribution median
Dividend yield — 0.11% 0.95%
Payout ratio — 0.03 0.19

Size

Metric ARW CLMB Electronics & Computer Distribution median
Market cap 9.01b 743.52m 1.46b

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