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Avnet (AVT) Stock Moves -0.35%: What You Should Know

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Avnet (AVT - Free Report) closed at $43.09 in the latest trading session, marking a -0.35% move from the prior day. This move was narrower than the S&P 500's daily loss of 0.84%. At the same time, the Dow lost 0.69%, and the tech-heavy Nasdaq lost 0.05%.

Prior to today's trading, shares of the distributor of electronic components had gained 3.4% over the past month. This has outpaced the Computer and Technology sector's gain of 1.72% and the S&P 500's gain of 2.02% in that time.

Avnet will be looking to display strength as it nears its next earnings release. In that report, analysts expect Avnet to post earnings of $1.96 per share. This would mark year-over-year growth of 75%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.2 billion, up 18.68% from the year-ago period.

Investors might also notice recent changes to analyst estimates for Avnet. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.67% higher. Avnet is currently sporting a Zacks Rank of #3 (Hold).

Digging into valuation, Avnet currently has a Forward P/E ratio of 6.15. This valuation marks a discount compared to its industry's average Forward P/E of 6.61.

Also, we should mention that AVT has a PEG ratio of 0.17. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AVT's industry had an average PEG ratio of 0.71 as of yesterday's close.

The Electronics - Parts Distribution industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 6, putting it in the top 3% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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