Bottom Line:
âšī¸ NEUTRAL: AVT is fairly priced but lacks strong directional signals. At 2.1% expected growth, valuation appears fair. Wait for clearer setup or better entry on dips.
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)50% (Hyper Growth)
EST. PRICE IN 2031
$161.51
Based on 14.5% avg growth
INTRINSIC VALUE TODAY
$100.29
11.6% Margin of Safety
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 10.4x Exit PE.
Valuation Analysis: AVT is currently trading at $88.64, which is considered slightly low relative to its 30-day fair value range of $86.00 to $95.48. The stock's valuation (Forward PE: 11.1) is in line with its historical norms (10.4). At these levels, the market is pricing in 2.1% annual earnings growth. This growth rate appears achievable given the company's track record, suggesting the valuation is rational.
Technical Outlook: Technically, AVT is in a strong uptrend. The price is currently testing key support at $86.34. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: AVT scores 26/100 on our bottoming-setup gauge. Note this measures entry quality, not trend direction — a low score can mean the chart is extended after a strong run (don't chase) or still falling without stabilization; better entries typically come after a pullback toward the 20-day average. Wall Street analysts see significant upside, with an average price target of $106.25 (+19.9%). Current signals suggest waiting for a better entry point before initiating new positions.
Quick Decision Summary
Current Position
SLIGHTLY LOW
Historical Trading Range
$86.00 -
$95.48
Company Quality Score
50/100
(HOLD)
Volume Confirmation
HIGH
Confidence Score
55.7%
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Avnet Inc is an electronic component technology distributor and solutions provider. It serves customers from startups and mid-sized businesses to enterprise-level original equipment manufacturers (OEMs), electronic manufacturing services (EMS) providers, and original design manufacturers (ODMs). The group operates in the Electronic Components segment and supports high and medium-volume customers to markets, sells, and distributes electronic components, and the Farnell segment supports lower-volume customers that need electronic components quickly to develop, prototype, and test their products. Its geographic regions are the Americas, EMEA, and Asia.