PC Connection (NASDAQ:CNXN) Cut to Sell at ValuEngine

PC Connection (NASDAQ:CNXN) was downgraded by investment analysts at ValuEngine from a “hold” rating to a “sell” rating in a research note issued on Wednesday, November 6th, ValuEngine reports.

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CNXN has been the subject of a number of other reports. Zacks Investment Research raised shares of PC Connection from a “hold” rating to a “strong-buy” rating and set a $56.00 price target for the company in a report on Friday, November 1st. Sidoti set a $47.00 price target on PC Connection and gave the company a “buy” rating in a report on Friday, October 25th. Finally, BidaskClub upgraded shares of PC Connection from a “buy” rating to a “strong-buy” rating in a research note on Monday, November 4th.

Shares of CNXN opened at $49.08 on Wednesday. The stock has a market cap of $1.30 billion, a P/E ratio of 20.71, a PEG ratio of 2.02 and a beta of 1.13. The company has a current ratio of 2.76, a quick ratio of 2.27 and a debt-to-equity ratio of 0.02. PC Connection has a 12-month low of $27.11 and a 12-month high of $51.88. The company has a 50-day moving average of $46.27 and a two-hundred day moving average of $38.09.

PC Connection (NASDAQ:CNXN) last posted its quarterly earnings results on Wednesday, October 30th. The company reported $0.90 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.57 by $0.33. The firm had revenue of $729.41 million for the quarter, compared to analyst estimates of $688.20 million. PC Connection had a net margin of 2.90% and a return on equity of 14.68%. PC Connection’s revenue for the quarter was up 10.8% compared to the same quarter last year. During the same quarter last year, the firm posted $0.51 earnings per share. As a group, analysts forecast that PC Connection will post 3.05 EPS for the current fiscal year.

In related news, Director Negrini David Beffa sold 1,463 shares of the firm’s stock in a transaction that occurred on Wednesday, November 20th. The stock was sold at an average price of $51.89, for a total value of $75,915.07. Following the transaction, the director now directly owns 110,926 shares of the company’s stock, valued at approximately $5,755,950.14. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Timothy J. Mcgrath sold 12,845 shares of PC Connection stock in a transaction on Monday, November 18th. The stock was sold at an average price of $51.09, for a total transaction of $656,251.05. Following the completion of the transaction, the chief executive officer now owns 244,207 shares in the company, valued at approximately $12,476,535.63. The disclosure for this sale can be found here. Insiders have sold 31,777 shares of company stock worth $1,629,374 over the last three months. Corporate insiders own 57.70% of the company’s stock.

Large investors have recently made changes to their positions in the stock. Wells Fargo & Company MN grew its holdings in PC Connection by 61.9% during the 2nd quarter. Wells Fargo & Company MN now owns 273,322 shares of the company’s stock worth $9,561,000 after acquiring an additional 104,482 shares during the last quarter. AQR Capital Management LLC grew its position in shares of PC Connection by 72.0% in the 2nd quarter. AQR Capital Management LLC now owns 243,496 shares of the company’s stock valued at $8,517,000 after buying an additional 101,914 shares during the last quarter. BlackRock Inc. grew its holdings in PC Connection by 7.2% in the second quarter. BlackRock Inc. now owns 1,059,321 shares of the company’s stock worth $37,056,000 after purchasing an additional 71,194 shares during the period. Municipal Employees Retirement System of Michigan bought a new stake in PC Connection in the second quarter valued at $1,504,000. Finally, Cadence Capital Management LLC bought a new position in shares of PC Connection during the 3rd quarter worth about $1,502,000. Hedge funds and other institutional investors own 41.13% of the company’s stock.

PC Connection Company Profile

PC Connection, Inc, together with its subsidiaries, provides a range of information technology (IT) solutions. The company operates through three segments: Business Solutions, Enterprise Solutions, and Public Sector Solutions. It offers IT products, such as computer systems, software and peripheral equipment, networking communications, and other products and accessories.

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To view ValuEngine’s full report, visit ValuEngine’s official website.

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