PC Connection (NASDAQ:CNXN) Reaches New 52-Week High – Still a Buy?

PC Connection, Inc. (NASDAQ:CNXN)’s stock price reached a new 52-week high during mid-day trading on Wednesday . The company traded as high as $75.30 and last traded at $74.6810, with a volume of 12414 shares changing hands. The stock had previously closed at $72.99.

Analyst Ratings Changes

Several research analysts have recently issued reports on CNXN shares. Wall Street Zen raised 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 research report on Wednesday, June 3rd. One equities research analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the company’s stock. Based on data from MarketBeat, PC Connection has an average rating of “Moderate Buy”.

PC Connection Stock Performance

The company has a 50-day simple moving average of $67.88 and a 200 day simple moving average of $62.86. The company has a market capitalization of $1.88 billion, a P/E ratio of 21.68, a P/E/G ratio of 1.84 and a beta of 0.88.

PC Connection (NASDAQ:CNXN) last posted its quarterly earnings results on Wednesday, April 29th. The company reported $0.77 EPS for the quarter, beating 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 during the quarter, compared to analysts’ expectations of $696.09 million. As a group, sell-side analysts forecast that PC Connection, Inc. will post 3.93 earnings per share for the current year.

PC Connection Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, May 29th. Shareholders of record on Tuesday, May 12th were issued a dividend of $0.20 per share. The ex-dividend date of this dividend was Tuesday, May 12th. This represents a $0.80 dividend on an annualized basis and a yield of 1.1%. PC Connection’s dividend payout ratio is currently 23.26%.

Insider Activity at PC Connection

In other PC Connection news, Chairman Patricia Gallup sold 7,142 shares of the company’s stock in a transaction dated Tuesday, June 23rd. The shares were sold at an average price of $69.73, for a total transaction of $498,011.66. Following the transaction, the chairman directly owned 7,020,605 shares in the company, valued at approximately $489,546,786.65. This represents a 0.10% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Over the last ninety days, insiders sold 21,450 shares of company stock valued at $1,528,146. 56.60% of the stock is currently owned by company insiders.

Institutional Trading of PC Connection

Large investors have recently made changes to their positions in the company. Dimensional Fund Advisors LP increased its position in shares of PC Connection by 0.3% during the first quarter. Dimensional Fund Advisors LP now owns 1,526,494 shares of the company’s stock worth $89,237,000 after acquiring an additional 4,345 shares in the last quarter. Vanguard Group Inc. boosted its holdings in shares of PC Connection by 1.0% in the 4th quarter. Vanguard Group Inc. now owns 1,080,151 shares of the company’s stock valued at $62,390,000 after buying an additional 10,218 shares during the last quarter. Geode Capital Management LLC grew its position in shares of PC Connection by 0.8% in the 4th quarter. Geode Capital Management LLC now owns 377,001 shares of the company’s stock valued at $21,777,000 after acquiring an additional 2,945 shares during the period. Invesco Ltd. increased its position in PC Connection by 22.1% during the fourth quarter. Invesco Ltd. now owns 219,220 shares of the company’s stock worth $12,662,000 after buying an additional 39,716 shares during the last quarter. Finally, Qube Research & Technologies Ltd increased its holdings in shares of PC Connection by 71.3% during the 3rd 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 last quarter. Institutional investors own 42.85% of the company’s stock.

About PC Connection

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.