PC Connection (NASDAQ:CNXN) Hits New 1-Year High – Time to Buy?

PC Connection, Inc. (NASDAQ:CNXN)’s share price reached a new 52-week high on Wednesday . The stock traded as high as $79.21 and last traded at $77.59, with a volume of 99470 shares trading hands. The stock had previously closed at $78.49.

Analyst Ratings Changes

A number of analysts have recently issued reports on CNXN shares. Wall Street Zen upgraded shares of PC Connection from a “hold” rating to a “buy” rating in a report on Saturday, May 2nd. Weiss Ratings upgraded PC Connection from a “hold (c+)” rating to a “buy (b-)” rating in a report on Wednesday, June 3rd. One research analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy”.

PC Connection Price Performance

The firm has a market capitalization of $1.96 billion, a price-to-earnings ratio of 22.56, a PEG ratio of 2.00 and a beta of 0.88. The stock has a 50 day moving average price of $70.08 and a two-hundred day moving average price of $63.92.

PC Connection (NASDAQ:CNXN) last posted its earnings results on Wednesday, April 29th. The company reported $0.77 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.62 by $0.15. PC Connection had a return on equity of 10.17% and a net margin of 3.02%.The firm had revenue of $721.87 million for the quarter, compared to analyst estimates of $696.09 million. As a group, research analysts expect that PC Connection, Inc. will post 3.93 earnings per share for the current fiscal year.

PC Connection Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, May 29th. Shareholders of record on Tuesday, May 12th were paid a dividend of $0.20 per share. The ex-dividend date was Tuesday, May 12th. This represents a $0.80 dividend on an annualized basis and a yield of 1.0%. PC Connection’s dividend payout ratio is 23.26%.

Insider Activity

In other news, Chairman Patricia Gallup sold 7,142 shares of the firm’s stock in a transaction that occurred on Monday, July 6th. The shares were sold at an average price of $72.86, for a total value of $520,366.12. Following the completion of the transaction, the chairman owned 7,006,321 shares of the company’s stock, valued at approximately $510,480,548.06. This trade represents a 0.10% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders have sold a total of 28,592 shares of company stock worth $2,048,512 over the last 90 days. 56.60% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On PC Connection

Several large investors have recently added to or reduced their stakes in CNXN. Qube Research & Technologies Ltd increased its position in shares of PC Connection by 71.3% during the third quarter. Qube Research & Technologies Ltd now owns 165,573 shares of the company’s stock worth $10,264,000 after acquiring an additional 68,906 shares during the period. UBS Group AG boosted its holdings in PC Connection by 189.9% in the fourth quarter. UBS Group AG now owns 89,814 shares of the company’s stock valued at $5,188,000 after purchasing an additional 58,831 shares during the period. Millennium Management LLC boosted its holdings in PC Connection by 98.8% in the first quarter. Millennium Management LLC now owns 115,237 shares of the company’s stock valued at $7,193,000 after purchasing an additional 57,257 shares during the period. Invesco Ltd. grew its stake in PC Connection by 22.1% during the 4th quarter. Invesco Ltd. now owns 219,220 shares of the company’s stock worth $12,662,000 after purchasing an additional 39,716 shares in the last quarter. Finally, Engineers Gate Manager LP acquired a new position in PC Connection during the 2nd quarter worth $2,585,000. 42.85% of the stock is owned by hedge funds and other institutional investors.

PC Connection Company Profile

PC Connection, Inc (NASDAQ: CNXN), now operating under the trade name Connection, is a value-added provider of information technology solutions founded in 1982 and headquartered in Merrimack, New Hampshire. The company offers a broad portfolio of hardware and software products sourced from leading technology vendors, alongside professional services designed to help organizations design, deploy and maintain IT environments.

Connection’s product offerings encompass desktop and notebook computers, servers and storage systems, networking and cybersecurity solutions, as well as cloud and virtualization technologies.