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PC Connection Inc
NASDAQ:CNXN

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PC Connection Inc
NASDAQ:CNXN
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Price: 63.74 USD 0.57% Market Closed
Market Cap: $1.6B

EV/GP

2.2
Current
8%
Cheaper
vs 3-y average of 2.4

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
2.2
=
Enterprise Value
$1.1B
/
Gross Profit
$539.3m

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
2.2
=
Enterprise Value
$1.1B
/
Gross Profit
$539.3m

Valuation Scenarios

PC Connection Inc is trading below its 3-year average

If EV/GP returns to its 3-Year Average (2.4), the stock would be worth $69.09 (8% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+286%
Average Upside
125%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 2.2 $63.74
0%
3-Year Average 2.4 $69.09
+8%
5-Year Average 2.5 $71.37
+12%
Industry Average 8.6 $246.33
+286%
Country Average 6.5 $186.38
+192%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close
Market Cap EV/GP P/E
US
PC Connection Inc
NASDAQ:CNXN
1.6B USD 2.2 19.2
US
TD Synnex Corp
NYSE:SNX
18.2B USD 4.4 18.6
US
CDW Corp
NASDAQ:CDW
17.7B USD 4.4 16.6
JP
Daiwa Tsushin Co Ltd
TSE:7116
2.7T JPY 2.8 17.3
ZA
Datatec Ltd
JSE:DTC
16.3B ZAR 0.6 12.2
CN
Unisplendour Corp Ltd
SZSE:000938
92.7B CNY 7.5 54.3
US
Arrow Electronics Inc
NYSE:ARW
9.6B USD 3.6 16.8
TW
WT Microelectronics Co Ltd
TWSE:3036
256.9B TWD 6.1 19.4
US
Avnet Inc
NASDAQ:AVT
6.7B USD 3.8 32.3
CN
Shenzhen Huaqiang Industry Co Ltd
SZSE:000062
37.3B CNY 22.4 83.4
TW
WPG Holdings Ltd
TWSE:3702
171.3B TWD 7.5 17.5

Market Distribution

Lower than 88% of companies in the United States of America
Percentile
12th
Based on 9 428 companies
12th percentile
2.2
Low
0 — 4.2
Typical Range
4.2 — 10.6
High
10.6 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 4.2
Median 6.5
70th Percentile 10.6
Max 1 764 211.7

PC Connection Inc
Glance View

PC Connection Inc., founded in 1982, began as a company deeply rooted in the idea of simplifying the whirlwind of choices in the expanding PC market for prospective buyers. Originally carving out its niche by selling personal computers through mail order, PC Connection quickly expanded its role as a leading provider in the world of information technology solutions. Headquartered in Merrimack, New Hampshire, this astute firm operates through various segments such as Business Solutions and Public Sector Solutions, catering to a diverse clientele that includes small to medium-sized businesses, government sectors, and educational institutions. It maintains a portfolio that ranges from software and hardware products to a full suite of advanced IT services. The company's business model thrives on its ability to offer comprehensive technology solutions, making its money by bridging cutting-edge technology with strategic consultation and services tailored to customer needs. Leveraging its relationships with major tech companies like Apple, Cisco, and Dell, PC Connection provides a competitive edge to clients by integrating top-tier products and providing extensive support and maintenance services. This enables clients to not only purchase necessary equipment but also receive assistance in implementing these technologies efficiently within their organizations. By closely aligning its offerings with the pressing demands of digital transformation across various sectors, PC Connection Inc. positions itself as an essential partner to businesses navigating the evolving technology landscape.

CNXN Intrinsic Value
74.27 USD
Undervaluation 14%
Intrinsic Value
Price $63.74
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