PC Connection Inc Dossier
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SectorInformation Technology IndustryElectronics & Computer Distribution Beta (adjusted)0.91 Intrinsic Value $60.41median of 6 methods · middle span $32-$70based on filings through 30 Jun 2026 Market Price $92.57Price as of 1 Oct 2026 OvervaluedIntrinsic value is 35% below the market price −50% · IV below pricenear fair value ±15%IV above price · +50% Data confidence Sign in to view data confidence Market Cap $2.3B Enterprise Value $2.2B Shares Outstanding 25.1M diluted Moat Rating Narrow Next Earnings Date28 Oct 2026 Last ex-dividend11 Aug 2026 All prices and values are periodic snapshots, not live quotes. Source dates are shown for reference. ThesisStreet consensus, scenarios, merits, risks, and invalidation triggers Thesis Summary PC Connection Inc. (CNXN) continues to transition from a traditional IT catalog reseller to a full-stack IT solutions and services provider. The company demonstrates robust profitability management, as evidenced by recent earnings beats driven by strong performance in its Business and Enterprise Solutions segments. However, overall revenue growth remains modest, and the Public Sector segment continues to face headwinds. With a solid net cash position and steady execution in high-margin areas like cloud and AI integration, the stock represents a stable, low-volatility holding, though near-term catalysts for significant multiple expansion are limited. This section is the 12-month view: analyst targets and the probability-weighted scenarios built from them. The intrinsic value at the top of this page answers a different question: what the business is worth today. Street view · analyst 12-month targets Low · most bearish analyst$83.00 Mean target$83.00 High · most bullish analyst$83.00 Our research · scenarios, merits, risks, and invalidation triggersResearch as of 18 Sep 2026 Scenarios · 12-month scenario targets Bear CaseDownside scenario $83.0015% Persistent component shortages, particularly in memory, combined with pricing inflation and deeper declines in public sector IT spending, compress gross margins and lead to flat or declining earnings. Base CaseCentral scenario $83.0060% Matches the consensus meanSteady execution of the services-led strategy maintains low-single-digit revenue growth and stable operating margins. Strong cost controls and share buybacks support mid-single-digit EPS growth in line with historical averages. Bull CaseUpside scenario $83.0025% Accelerated enterprise adoption of AI-enabled devices and advanced multi-cloud solutions drives high-margin services growth, leading to significant gross margin expansion and double-digit EPS growth. Scenarios are anchored to street consensus at the research date, with our probabilities and rationale. Key Investment Merits
Key Investment Risks
Thesis Invalidation Triggers
All scenarios are estimates and subject to change. Past performance is not indicative of future results. Quality Pillars MembersThis section is available to registered members. Create a free account or sign in to unlock the full breakdown. Explore this dossierValuationIntrinsic value, the six-method breakdown, peer medians, and your assumptions sandbox.Financial SnapshotRevenue, profitability, returns, balance sheet, dividends, and the filing-level detail.Qualitative AnalysisBusiness overview, strategic initiatives, and mergers, acquisitions & partnerships.Outlook & Key DatesForward estimates, reporting calendar, and the monitoring framework. |