Breaking Finance News

Synnex Corp. Trades Higher After the Closing Bell

Synnex Corp.At the close of trading, stock for Synnex Corp. (NYSE: SNX) was up 1.20% to $62.19 per share but in after-hour trading, stock rose even more to $67.50 per share or 5.5%. Previously, Synnex had a reported an increase in earnings of 19.5% to $1.59 diluted share, $0.11 higher than analysts’ expectations.

While today’s range was between $61.23 and $62.27 per share, the 52-week range was $51.65 and $79.44 a share. For the quarter, stock rose 29.3% to $3.53 billion, above the anticipated $3.4 billion.

Synnex Corp. (NYSE: SNX) estimates revenue for the fourth quarter to end up between $3.65 and $3.75 billion. Today’s per share earnings is the result of several unique but also positive factors. This increase will also provide investors with an opportunity for better performance than with most stocks.

Some of Synnex’s greatest strengths include healthy revenue growth, appealing valuation levels, persuasive growth in net income, and growth in earnings per share. However, the biggest driving force behind today’s trading outcome is the solid financial position and reasonable debt levels that Synnex has. Comparing strengths to weaknesses, Synnex strengths greatly outweigh the disappointing return on equity.

Synnex Corp. (NYSE: SNX)  provides both distribution and business process outsourcing (BPO) services mainly in North America to retailers, resellers, and original equipment manufacturers. Operations include two segments, Global Business Services and Distribution Services. However, it also operates in the United Kingdom, China, Japan, India, Philippines, Hungary, Costa Rica, Mexico, and Nicaragua.

Included in the Global Business Services are customer management, back-office processing, renewals management, and IT outsourcing. For Distribution Services, information technology products such as peripherals, IT systems, software, networking equipment, system components, complementary products, and consumer electronics are distributed to system integrators, retailers, and value-added resellers. This segment also provides storage and center server solutions.

Formerly known as Synnex Information Technologies, Inc., which was changed to Synnex Corporation in 2003, it also offers logistics services beyond the primary two segments.

Receive News & Ratings Via Email - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings with's FREE daily email newsletter.