Should I Buy ARW Stock in 2026?

Data-driven analysis and honest assessment for Arrow Electronics Inc

Analysis Updated:
HOLDMixed signals - suitable for existing holders

Current Price: $186.24P/E: 16.9

Decision Score

5.7/10

Hold

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)7/10

Reasonable P/E of 16.9

Growth (20%)5/10

Slow growth of 1%

Profitability (20%)4/10

Thin margins (0% net)

Financial Health (15%)5/10

Financial health data limited

Cash Flow (15%)8/10

Strong FCF yield of 7.8%

Insider Activity (10%)5/10

No recent insider activity

Key Investment Metrics

Current Price

$186.24

P/E Ratio

16.90

Revenue Growth

0.2%

Profit Margin

0.0%

Market Cap

$9.4B

Dividend Yield

None

How ARW Compares to Competitors

Understanding how ARW stacks up against peers helps inform your investment decision.

How ARW Compares to Peers

Upcoming Events for ARW

+5 Reasons TO Buy ARW

1. High free cash flow yield of 7.8%

moderate

FCF yield above 5% means substantial cash generation for dividends, buybacks, or reinvestment.

-5 Reasons NOT to Buy ARW

1. Thin profit margins of 0.0%

high risk

Low margins provide little cushion against cost increases or pricing pressure.

2. Low gross margins of 11%

medium risk

Margins below 30% indicate commodity-like pricing and input cost vulnerability.

3. Minimal revenue growth

low risk

Growth of 0.2% barely keeps pace with inflation.

Who Should Buy ARW?

Investment Profile

Risk Level

High

Recommended Holding Period

3-5 years

Best For:

  • Value Investors

    P/E of 16.9 offers margin of safety

Not Suitable For:

  • Growth Investors

    Limited 0% growth may disappoint

  • Income-Focused Retirees

    No dividend paid

  • Risk-Averse Investors

    High risk may cause uncomfortable volatility

  • Large Position Traders

    Lower liquidity may impact execution

Consider These Alternatives

If you're interested in ARW, compare these Information Technology peers:

Pro tip: Compare ARW directly with competitors using our comparison tool to see which stock better fits your criteria.

Get the Full Picture

Access AI-powered insights, DCF valuations, insider trading data, and real-time analysis for ARW

Frequently Asked Questions

What is ARW stock price today?

ARW (Arrow Electronics Inc) stock is trading at $186.24 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

Is ARW stock going up or down today?

ARW stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

Should I buy ARW stock now?

The decision to buy ARW depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

Is ARW a buy, hold, or sell right now?

Our AI-powered analysis provides buy/hold/sell recommendations for ARW based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

Is ARW stock overvalued or undervalued?

ARW currently trades at a P/E ratio of 16.90 relative to earnings. Our DCF calculator provides intrinsic value estimates to help determine if ARW is fairly priced.

What is ARW's P/E ratio?

ARW has a price-to-earnings (P/E) ratio of 16.90, which measures how much investors are willing to pay per dollar of earnings. Compare this to industry peers and historical averages for context.

What is ARW's market cap?

ARW (Arrow Electronics Inc) has a market capitalization of $9.43 billion, making it a small-cap stock.

What is ARW's price to book ratio?

ARW trades at a price-to-book (P/B) ratio of 1.43, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

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Disclaimer

This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.