ScanSource (NASDAQ:SCSC) Cut to “Buy” at Wall Street Zen

Wall Street Zen lowered shares of ScanSource (NASDAQ:SCSC) from a strong-buy rating to a buy rating in a research note published on Saturday,Wall Street Zen reports.

Other equities research analysts have also issued reports about the stock. Weiss Ratings raised shares of ScanSource from a “hold (c+)” rating to a “buy (b-)” rating in a report on Thursday, October 8th. Northcoast Research lowered shares of ScanSource from a “buy” rating to a “neutral” rating in a report on Monday, August 17th. Barclays upped their price objective on shares of ScanSource from $43.00 to $51.00 and gave the company an “equal weight” rating in a research report on Monday, October 12th. Finally, Zacks Research downgraded ScanSource from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, October 20th. One investment analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, ScanSource presently has a consensus rating of “Hold” and an average price target of $51.00.

ScanSource Stock Performance

Shares of SCSC stock opened at $44.06 on Friday. The company’s fifty day simple moving average is $57.96 and its 200-day simple moving average is $48.12. ScanSource has a 52 week low of $33.76 and a 52 week high of $66.78. The company has a current ratio of 1.76, a quick ratio of 1.15 and a debt-to-equity ratio of 0.11. The company has a market cap of $897.50 million, a PE ratio of 13.81, a P/E/G ratio of 0.78 and a beta of 1.28.

ScanSource (NASDAQ:SCSC) last announced its quarterly earnings results on Thursday, November 5th. The industrial products company reported $0.86 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.12 by ($0.26). ScanSource had a net margin of 2.44% and a return on equity of 10.10%. The company had revenue of $962.29 million during the quarter, compared to analyst estimates of $860.35 million. During the same quarter in the prior year, the company posted $1.06 earnings per share. The firm’s revenue for the quarter was up 30.1% on a year-over-year basis. As a group, equities research analysts anticipate that ScanSource will post 4.71 EPS for the current year.

Insiders Place Their Bets

In other news, Director Charles Mathis sold 3,000 shares of the stock in a transaction that occurred on Friday, September 11th. The stock was sold at an average price of $58.00, for a total transaction of $174,000.00. Following the completion of the transaction, the director directly owned 25,027 shares in the company, valued at approximately $1,451,566. This represents a 10.70% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CFO Stephen Jones sold 10,000 shares of the firm’s stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $56.76, for a total transaction of $567,600.00. Following the sale, the chief financial officer directly owned 87,421 shares of the company’s stock, valued at $4,962,015.96. The trade was a 10.26% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 95,632 shares of company stock valued at $5,484,582. Corporate insiders own 3.20% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Renaissance Technologies LLC bought a new stake in ScanSource in the first quarter valued at about $766,000. Hsbc Holdings PLC raised its stake in ScanSource by 160.3% during the second quarter. Hsbc Holdings PLC now owns 36,881 shares of the industrial products company’s stock valued at $1,933,000 after buying an additional 22,715 shares in the last quarter. Public Employees Retirement System of Ohio acquired a new stake in ScanSource during the second quarter valued at approximately $1,183,000. BlackRock Inc. bought a new position in ScanSource during the 2nd quarter worth approximately $200,140,000. Finally, Legal & General Group Plc bought a new position in ScanSource during the 2nd quarter worth approximately $2,319,000. 97.91% of the stock is owned by institutional investors and hedge funds.

ScanSource Company Profile

ScanSource, Inc (NASDAQ: SCSC) is a technology distributor that connects manufacturers of business technology products with value-added resellers, systems integrators and other channel partners. The company provides products, services and expertise intended to help partners design, deploy and support technology solutions for business customers.

ScanSource’s offerings include point-of-sale and payment technology, barcode scanners, mobile computing devices, networking equipment, cybersecurity products, communications systems and cloud-based services.