Scansource Stock Buy Hold or Sell Recommendation
| SCSC Stock | USD 36.09 0.85 2.41% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding ScanSource is 'Strong Hold'. Macroaxis provides ScanSource buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding SCSC positions.
Check out ScanSource Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade ScanSource Stock refer to our How to Trade ScanSource Stock guide. In addition, we conduct extensive research on individual companies such as ScanSource and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards ScanSource. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in state.
ScanSource |
Execute ScanSource Buy or Sell Advice
The ScanSource recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on ScanSource. Macroaxis does not own or have any residual interests in ScanSource or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute ScanSource's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
ScanSource Trading Alerts and Improvement Suggestions
| ScanSource generated a negative expected return over the last 90 days | |
| ScanSource has a strong financial position based on the latest SEC filings | |
| Over 92.0% of the company shares are owned by institutional investors | |
| Latest headline from finance.yahoo.com: Spotting Winners ScanSource And IT Distribution Solutions Stocks In Q4 |
ScanSource Returns Distribution Density
The distribution of ScanSource's historical returns is an attempt to chart the uncertainty of ScanSource's future price movements. The chart of the probability distribution of ScanSource daily returns describes the distribution of returns around its average expected value. We use ScanSource price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of ScanSource returns is essential to provide solid investment advice for ScanSource.
| Mean Return | -0.53 | Value At Risk | -3.66 | Potential Upside | 2.42 | Standard Deviation | 2.38 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of ScanSource historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
ScanSource Stock Institutional Investors
| Shares | Goldman Sachs Group Inc | 2024-12-31 | 414.5 K | Pzena Investment Management, Llc | 2024-12-31 | 404.7 K | Bridgeway Capital Management, Llc | 2024-12-31 | 366.2 K | Charles Schwab Investment Management Inc | 2024-12-31 | 319 K | Morgan Stanley - Brokerage Accounts | 2024-12-31 | 287.6 K | Northern Trust Corp | 2024-12-31 | 273.6 K | Jacobs Levy Equity Management, Inc. | 2024-12-31 | 241.2 K | Ameriprise Financial Inc | 2024-12-31 | 240.7 K | Millennium Management Llc | 2024-12-31 | 239.7 K | Blackrock Inc | 2024-12-31 | 4 M | Vanguard Group Inc | 2024-12-31 | 3 M |
ScanSource Cash Flow Accounts
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 (projected) | ||
| Change In Cash | 28.3M | (24.7M) | (1.8M) | 149.3M | 171.7M | 180.3M | |
| Depreciation | 33.5M | 29.9M | 28.6M | 28.0M | 32.2M | 33.9M | |
| Other Non Cash Items | 20.1M | 2.0M | 3.4M | (5.4M) | (6.2M) | (5.9M) | |
| Capital Expenditures | 2.4M | 6.8M | 10.0M | 8.6M | 9.8M | 7.5M | |
| Net Income | 45.4M | 88.7M | 88.1M | 77.1M | 88.6M | 93.0M | |
| End Period Cash Flow | 62.7M | 38.0M | 36.2M | 185.5M | 213.3M | 223.9M | |
| Free Cash Flow | 138.6M | (131.2M) | (45.7M) | 363.1M | 417.6M | 438.4M | |
| Change To Inventory | (12.3M) | (146.0M) | (138.3M) | 239.2M | 275.0M | 288.8M | |
| Change To Netincome | 277.0M | 65.2M | 18.9M | 12.5M | 14.4M | 13.7M | |
| Net Borrowings | (110.5M) | (76.8M) | 128.0M | 57.3M | 65.9M | 69.2M | |
| Dividends Paid | 754K | 585K | 2.3M | 910K | 1.0M | 1.1M | |
| Investments | 31.9M | (3.7M) | (8.3M) | 9.0M | 10.4M | 10.9M |
ScanSource Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to ScanSource or Electronic Equipment, Instruments & Components sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that ScanSource's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a ScanSource stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.47 | |
β | Beta against Dow Jones | 0.60 | |
σ | Overall volatility | 2.43 | |
Ir | Information ratio | -0.18 |
ScanSource Volatility Alert
ScanSource exhibits very low volatility with skewness of -3.28 and kurtosis of 19.24. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure ScanSource's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact ScanSource's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.ScanSource Fundamentals Vs Peers
Comparing ScanSource's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze ScanSource's direct or indirect competition across all of the common fundamentals between ScanSource and the related equities. This way, we can detect undervalued stocks with similar characteristics as ScanSource or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of ScanSource's fundamental indicators could also be used in its relative valuation, which is a method of valuing ScanSource by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare ScanSource to competition |
| Fundamentals | ScanSource | Peer Average |
| Return On Equity | 0.0679 | -0.31 |
| Return On Asset | 0.0319 | -0.14 |
| Profit Margin | 0.02 % | (1.27) % |
| Operating Margin | 0.03 % | (5.51) % |
| Current Valuation | 877.49 M | 16.62 B |
| Shares Outstanding | 23.46 M | 571.82 M |
| Shares Owned By Insiders | 8.29 % | 10.09 % |
| Shares Owned By Institutions | 91.71 % | 39.21 % |
| Number Of Shares Shorted | 1.74 M | 4.71 M |
| Price To Earning | 8.85 X | 28.72 X |
| Price To Book | 0.94 X | 9.51 X |
| Price To Sales | 0.28 X | 11.42 X |
| Revenue | 3.26 B | 9.43 B |
| Gross Profit | 395.14 M | 27.38 B |
| EBITDA | 140.91 M | 3.9 B |
| Net Income | 77.06 M | 570.98 M |
| Cash And Equivalents | 37.99 M | 2.7 B |
| Cash Per Share | 1.51 X | 5.01 X |
| Total Debt | 153.96 M | 5.32 B |
| Debt To Equity | 0.36 % | 48.70 % |
| Current Ratio | 1.87 X | 2.16 X |
| Book Value Per Share | 38.14 X | 1.93 K |
| Cash Flow From Operations | 371.65 M | 971.22 M |
| Short Ratio | 7.29 X | 4.00 X |
| Earnings Per Share | 2.54 X | 3.12 X |
| Price To Earnings To Growth | 0.92 X | 4.89 X |
| Target Price | 55.0 | |
| Number Of Employees | 2.3 K | 18.84 K |
| Beta | 1.41 | -0.15 |
| Market Capitalization | 846.8 M | 19.03 B |
| Total Asset | 1.78 B | 29.47 B |
| Retained Earnings | 1.01 B | 9.33 B |
| Working Capital | 735.35 M | 1.48 B |
Note: Disposition of 23400 shares by Michael Baur of ScanSource at 43.59 subject to Rule 16b-3 [view details]
ScanSource Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as ScanSource . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About ScanSource Buy or Sell Advice
When is the right time to buy or sell ScanSource? Buying financial instruments such as ScanSource Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having ScanSource in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Check out ScanSource Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade ScanSource Stock refer to our How to Trade ScanSource Stock guide.You can also try the Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Is Electronic Equipment, Instruments & Components space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of ScanSource. If investors know ScanSource will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about ScanSource listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.46) | Earnings Share 2.54 | Revenue Per Share | Quarterly Revenue Growth (0.15) | Return On Assets |
The market value of ScanSource is measured differently than its book value, which is the value of ScanSource that is recorded on the company's balance sheet. Investors also form their own opinion of ScanSource's value that differs from its market value or its book value, called intrinsic value, which is ScanSource's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because ScanSource's market value can be influenced by many factors that don't directly affect ScanSource's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between ScanSource's value and its price as these two are different measures arrived at by different means. Investors typically determine if ScanSource is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, ScanSource's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.