This tech company beat analysts’ earnings estimates by $0.37 last quarter.
Tech Data Corporation (TECD)
From AlphaProfit Sector Investors’ Newsletter
Tech Data Corporation (TECD) is overcoming troubles from vendor program changes that plagued its final quarter of fiscal 2018. The global IT products distributor has renegotiated program terms and cut sales costs to offset pricing pressure.
Tech Data earned $1.84 a share in the first quarter of fiscal 2019, eclipsing analysts’ EPS forecast by over 25%. Synergies from Avnet’s assets Tech Data bought should lift the latter’s EPS going forward.
Tech Data shares appeal to growth-at-a-reasonable-price investors. They trade at 8.0X-forward EPS versus prospects of 16% EPS growth in the next 12 months. (Next earnings: ~ Aug. 30)
Sam Subramanian, PhD, AlphaProfit Sector Investors’ Newsletter, www.alphaprofit.com,
2815656963, August 2018