TD Synnex Slides 4% Premarket Despite Q3 Beat and Strong Guidance
SNX sits 88% above its 52-week low of $142.22 on elevated volume (3.3× avg).
Summary
TD Synnex reported Q3 adjusted EPS of $5.68, beating the $4.70 consensus, on revenue of $21.6B, up 37.7% year-over-year. Q4 guidance was also well above estimates: adjusted EPS of $5.65-$6.15 vs. $4.87 expected, and revenue of $21.8-$22.6B vs. $19.44B expected. Despite the strong results, shares fell 8.8% to $262.50 as free cash flow swung to negative $975.6 million from positive $213.92 million a year ago. Morgan Stanley raised its price target to $374. The company will host its earnings call at 9 a.m. EST, where management may provide additional color on the quarter and outlook.
Updated with a Dow Jones Newswires report · What changed
Updates
· Dow Jones Newswires — Shares fell 8.8% to $262.50 as free cash flow swung to negative $975.6 million from positive $213.92 million a year ago. Morgan Stanley raised its price target to $374.
At the time of this announcement, SNX was trading at $267.00 on NYSE in the Technology sector, with a market capitalization of approximately $23B. The 52-week trading range was $142.22 to $298.77. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Seeking Alpha.