Morningstar Rating

Stock Research and Analysis

by Peter Wahlstrom, CFA

Bulls Say

Diverse product and end-market exposure results in lower exposure to economic and technology cycles.
About 60% of shipments today require some degree of services along with delivery. This increases the engineering content in its revenue stream and leads to high margins.
The distribution model generates very strong cash flow throughout the industry cycle, even when volume slips. Read more 

Bears Say

Broadline distributors are aggressively expanding into value-added services, resulting in increased competition for Arrow.
Arrow’s computing solutions business is not present in Asia. The firm may be late to the game if Asia’s technology market develops more quickly than expected.
The IT asset disposal business is a strain on margins, and Arrow could alternatively invest in another profitable venture. Read more 


We believe Arrow’s stewardship of shareholder capital is Standard. Chairman and CEO Michael Long has been with Arrow since 1991 and took control of the company in May 2009. CFO Paul Reilly has been with the firm since 1991 and was promoted to his current   Read more 


Arrow Electronics is a global distributor of electronic components and enterprise computing solutions. The firm uses a network of 38 distribution centers in about 60 countries   Read more 

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