PC Connection, Inc. (CNXN) vs TD SYNNEX Corporation (SNX)

PC Connection, Inc. and TD SYNNEX Corporation are both Electronics & Computer Distribution companies. TD SYNNEX Corporation is the larger, with a market value of $17.2B against $2.0B — 8.5× the size. TD SYNNEX Corporation trades at the lower P/E: 13.3× against 19.5×. TD SYNNEX Corporation grew revenue faster over the last twelve months: 24.1% against 9.53%. PC Connection, Inc. has the higher net margin (3.25% vs 1.75%) and the higher return on invested capital (12.5% vs 9.10%). Both pay a dividend; PC Connection, Inc. yields more (0.95% vs 0.88%). Across the 22 metrics below, PC Connection, Inc. leads on 11 and TD SYNNEX Corporation on 11.

Valuation

Metric CNXN SNX Electronics & Computer Distribution median
P/E 19.50 13.29 13.29
P/S 0.63 0.23 0.38
P/B 2.04 1.86 1.58
Price to free cash flow n/m n/m 17.66
EV/EBITDA 11.91 8.94 10.46
EV/Sales 0.52 0.29 0.33
Earnings yield 5.13% 7.52% 6.77%
Free cash flow yield (1.08%) (4.70%) 2.07%

Profitability

Metric CNXN SNX Electronics & Computer Distribution median
Gross margin 18.64% 6.89% 14.23%
Operating margin 4.05% 2.71% 2.99%
Net margin 3.25% 1.75% 1.99%
Free cash flow margin (0.65%) (1.08%) 0.71%
Return on equity 10.89% 14.93% 9.15%
Return on assets 7.27% 3.61% 3.52%
Return on invested capital 12.52% 9.10% 8.25%

Growth

Metric CNXN SNX Electronics & Computer Distribution median
Revenue growth (TTM) 9.53% 24.11% 14.77%
EPS growth (last fiscal year) (0.61%) 25.16% 17.81%
Revenue growth, 5-year CAGR 2.09% 25.63% 1.79%
Net income growth, 5-year CAGR 8.47% 9.36% 4.24%

Health

Metric CNXN SNX Electronics & Computer Distribution median
Debt to equity 0.00 0.59 0.37
Current ratio 2.72 1.19 1.39
Net debt to EBITDA (3.65) 1.19 1.23

Dividend

Metric CNXN SNX Electronics & Computer Distribution median
Dividend yield 0.95% 0.88% 0.95%
Payout ratio 0.19 0.12 0.19

Size

Metric CNXN SNX Electronics & Computer Distribution median
Market cap 2.01b 17.18b 1.46b

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