TD SYNNEX Corporation research snapshot
SNX AI stock analysis currently views TD SYNNEX as a scaled IT distributor and AI infrastructure manufacturer that just delivered a record quarter. Fiscal 2026 second quarter revenue rose 31.0% to $19.575 billion and non-GAAP diluted EPS rose 62.2% to $4.85, driven by broad distribution demand and 117% growth in Hyve AI infrastructure. The catch is that gross margin is still thin at 6.84% and working capital consumption produced negative free cash flow in both the quarter and the first half. At the August 2, 2026 data cutoff, StockAnalysis showed SNX at $255.70 at the July 31 close with 79.96 million shares outstanding, and financial_rigor.py verified a market value of about $20.45 billion. The SNX AI stock forecast is scenario-based rather than a precise prediction. This page is informational research, not investment advice.
Current price
$255.70
Market cap
$20.45 billion
AI score
73 / 100
Rating
Strong execution with working-capital and margin caveats
Trend status
Consolidating below its 50-day average, well above its 200-day average
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | TD SYNNEX connects technology vendors with resellers, integrators, and end customers, adding financing, logistics, cloud, lifecycle, and solution services to product distribution, plus Hyve AI infrastructure design and manufacturing. | High |
| Moat | Global scale, vendor relationships, credit infrastructure, inventory logistics, and channel data are meaningful advantages, but switching costs and pricing power are limited in distribution. | Medium-high |
| Management | CEO Patrick Zammit has led the company since September 2024 after serving as COO. The key management test is turning revenue and gross-billing growth into durable margins and cash flow. | Medium |
| Financial trend | FY2026 Q2 revenue rose 31.0% to $19.575 billion, GAAP operating income rose 58.3% to $519 million, GAAP diluted EPS was $4.15, and non-GAAP diluted EPS was $4.85, up 62.2%. | High |
| Valuation | Using the $255.70 close and $13.95 trailing EPS supplied by StockAnalysis, financial_rigor.py verified about 18.33x trailing earnings, 2.27x book value, a 0.75% indicated dividend yield, and a 12.99x forward PE. | Medium |
| Technical trend | The August snapshots placed SNX just below its 50-day average near $259.20 and well above the 200-day average near $191.93, still below the $296.47 52-week high. That is mixed but not a confirmed breakdown. | Medium |
| Risk level | Risk is moderate to high because gross margin is thin at about 7%, inventory reached $13.9 billion, free cash flow was negative in Q2 and the first half, and technology spending can reverse quickly. | High |
| AI confidence | High for historical filings, current quote math, and the business map. Medium for technical levels and future earnings because they change with market conditions and vendor programs. | High data confidence |
| Investment certainty | Medium certainty. Scale and recent execution are real, but a distributor should be judged on margin resilience, cash conversion, and balance-sheet discipline rather than revenue growth alone. | Medium |
SNX AI stock forecast
The SNX AI stock forecast uses a three-year scenario framework around the $255.70 July 31, 2026 close, not a point target. financial_rigor.py modeled $13.95 trailing EPS with 20%, 10%, and negative 3% annual EPS growth, then 18x, 14x, and 10x exit multiples. The mechanical outcomes were about $433.90, $259.90, and $127.30 before dividends, taxes, execution risk, or changes in the share count. Analyst consensus was Buy with an average price target of $333.55.
$380 to $435
More likely if AI infrastructure demand (Hyve grew 117% in Q2) and advanced solutions hold, gross margin stays near 7%, non-GAAP EPS compounds near the modelled 20% rate, supplier programs stay supportive, and working capital normalizes.
$230 to $280
More likely if revenue normalizes after the Q2 surge, margins remain low but stable, free cash flow recovers from the negative first half, and the stock is valued around a 13x to 14x forward earnings multiple.
$110 to $165
More likely if IT spending weakens, supply constraints and rising component costs persist, inventory or credit losses rise, margins compress, negative free cash flow continues, or the market assigns a lower cycle-sensitive multiple.
SNX AI technical analysis
SNX AI technical analysis uses the $255.70 July 31, 2026 close and StockAnalysis statistics published around August 2, 2026. StockAnalysis listed a 50-day moving average of $259.20, a 200-day moving average of $191.93, and an RSI of 53.62. These are static references, so confirm live price, volume, and earnings timing before acting.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $255.70 | StockAnalysis close quote for July 31, 2026. It is not a live quote. |
| Near support | $240 to $252 | The recent consolidation area below the 50-day reference. A stable hold here keeps the July uptrend structure intact. |
| Near resistance | $259 to $272 | The 50-day average near $259.20 is the first reference, with the June high-$270s area above it. Confirmation needs volume. |
| Key resistance | $296.47 | The 52-week high listed by StockAnalysis. A close above it with volume would mark a breakout. |
| 50-day moving average | About $259.20 | StockAnalysis statistic published around August 2, 2026. Price was just below this reference. |
| 200-day moving average | About $191.93 | StockAnalysis statistic published around August 2, 2026. Price was well above this longer-term reference. |
| Momentum | Mixed to constructive | RSI was 53.62 and price was just below the 50-day average but well above the 200-day average. A reclaim of the 50-day level would improve the short-term picture. |
| Volume | Confirm against current average volume | 20-day average volume was about 814,645 shares. Volume can spike around earnings and vendor demand, so use current chart volume. |
| Volatility | Beta 1.43 | StockAnalysis listed beta of 1.43, indicating above-market sensitivity to technology-cycle moves. |
| Invalidation | Sustained failure below $240 to $230 | A break below the $240 support zone, especially with margin or guidance deterioration, would weaken the trend-following thesis. The 200-day average near $191.93 is the larger breakdown reference. |
SNX AI trading strategy
The SNX AI trading strategy is a non-personalized framework for monitoring a technology-distribution stock. It does not replace an investor’s own risk limits, tax analysis, or current quote and earnings review.
Monitor whether SNX reclaims the $259 50-day area and then clears $272 toward the $296.47 52-week high with stronger volume. Pair the chart check with evidence that non-GAAP gross billings, margins, and Q3 guidance of $4.25 to $4.75 non-GAAP EPS are being delivered.
Invalidate the setup on a sustained break below $240, a material margin miss, or free cash flow that stays negative because inventory and receivables keep growing faster than demand.
If SNX revisits $240 to $252 while Q3 guidance, vendor relationships, and credit quality remain intact, wait for price stabilization and a recovery above the short-term average before treating the pullback as constructive.
Do not average down solely because price fell. Reassess if the decline follows weaker IT spending, supplier-program changes, or continued working-capital deterioration.
Track revenue, non-GAAP gross billings, gross margin, operating margin, free cash flow, inventory near $13.9 billion, receivables, borrowings, share repurchases, and dividends. Watch how supply constraints and rising component costs are handled.
Reduce confidence if revenue growth is not matched by margin stability and working-capital discipline, if a major vendor or customer relationship changes, or if negative free cash flow persists.
Investment research summary
Vendors pay TD SYNNEX to reach a broad channel, while resellers and integrators use its product access, logistics, financing, cloud, and service capabilities to serve end customers without carrying the full infrastructure themselves.
Scale in vendor relationships, trade credit, multi-country logistics, inventory management, and channel data creates an operating moat. The limitation is that the model has thin gross margins and is vulnerable to competitive terms.
The thesis fails if technology spending drops, large suppliers or customers consolidate or change terms, inventory turns worse, receivables create losses, free cash flow stays negative, or revenue growth hides margin pressure.
Patrick Zammit became CEO in September 2024 after operating roles at TD SYNNEX. His capital-allocation test is managing growth, working capital, debt, buybacks, and dividends through the cycle.
AI infrastructure demand fueled Hyve growth of 117% in Q2, while cloud, cybersecurity, and endpoint refreshes support the distribution business. The same trends can shift vendor economics and create demand or inventory swings.
The verified 18.33x trailing PE and 54.6x price-to-free-cash-flow leave less protection if earnings momentum or cash conversion fades. A margin of safety would require confidence that profit and working capital can hold through a normal technology cycle.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| SNX price and shares outstanding | $255.70 at the July 31, 2026 close and 79.96M shares | StockAnalysis quote and statistics snapshot | August 2, 2026 |
| Market capitalization | $20.45B, mechanically verified as price times shares | StockAnalysis plus financial_rigor.py | August 2, 2026 |
| FY2025 revenue and net income | $62.51B revenue and $820.17M net income | TD SYNNEX FY2025 10-K and StockAnalysis | August 2, 2026 |
| FY2026 Q2 GAAP results | $19.575B revenue, up 31.0%; gross margin 6.84%; operating income $519M, up 58.3%; diluted EPS $4.15, up 87.8% | TD SYNNEX FY2026 Q2 press release, June 25, 2026 | August 2, 2026 |
| FY2026 Q2 non-GAAP results | Non-GAAP gross billings $28.9B, up 33.4%; non-GAAP operating income $615M; non-GAAP diluted EPS $4.85, up 62.2% | TD SYNNEX FY2026 Q2 press release, June 25, 2026 | August 2, 2026 |
| Balance sheet at May 31, 2026 | Cash $1.094B; inventories $13.894B; current borrowings $1.126B; long-term borrowings $3.594B; stockholders equity $8.950B | TD SYNNEX FY2026 Q2 press release consolidated balance sheet | August 2, 2026 |
| Free cash flow in FY2026 | Negative $332M in Q2 and negative $1.261B in the first half, driven by inventory and receivables build | TD SYNNEX FY2026 Q2 press release | August 2, 2026 |
| Fiscal Q3 2026 outlook | Revenue $18.2B to $19.0B; non-GAAP diluted EPS $4.25 to $4.75 | TD SYNNEX FY2026 Q2 press release | August 2, 2026 |
| Analyst consensus and price target | Buy from 11 analysts; average price target $333.55; low $278, high $374 | StockAnalysis and S&P Global Market Intelligence | July 22, 2026 |
| Technical reference levels | 50-day average $259.20; 200-day average $191.93; RSI 53.62; 52-week range $139.23 to $296.47; 20-day average volume 814,645 shares | StockAnalysis statistics snapshot | August 2, 2026 |
This page is an informational tool, not investment advice or a recommendation to buy or sell SNX. Forecasts are scenarios based on available data and assumptions, may be wrong, and can change with market prices, company results, technology spending, supplier terms, working capital, or new information.
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