Skip to content

CNXN

NASDAQ

PC Connection Inc

Industrials
Electrical Equipment

$77.55

1.7%

Updated Today 11:10 AM ET

Report Card

CNXN at a glance — five pillars scored 0–100 from real filed financials.

Value
Growth
Profitability
0
Health
0
Dividends
0

Overall: Unrated · 0/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.

Key Metrics

Market Cap

$0.00

P/E

Forward P/E (est.)

ROE

Revenue Growth

EPS Growth

Profit Margin

FCF Yield

Debt / Equity

ROIC

8.0%

Interest Coverage

927.87x

Current Ratio

2.88x

Dividend Yield

Implied Growth (rev. DCF)

Rating Score

0/100

Business Overview
Research

PC Connection Inc (CNXN) is a small-cap company in the Electrical Equipment industry, part of the Industrials sector of the S&P 500.

In its latest reported year it generated about $2.87B in revenue and $83.72M in net profit.

Our model rates CNXN Unrated (0/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Economic Moat

Evidence of durable competitive advantage in the filed financials (10 years of history).

No moat evidenceMoat evidence score: 40/100

The numbers don't show a durable competitive advantage — margins, growth, or returns on capital have been unstable or thin. Great returns are still possible; they just aren't protected.

Gross margin level0/100

18.4% average over the last 3 years

Gross margin stability78/100

±1.8 pts around 16.2% across 10 years

Revenue durability28/100

grew in 5 of the last 9 year-over-year periods

Free-cash-flow consistency100/100

positive in 10 of 10 years

Return on invested capital15/100

8.0% latest fiscal year

A moat can't be proven by numbers alone — this scores the evidence a durable advantage leaves behind (pricing power, consistency, returns on capital), computed the same way for every stock. Pair it with the business overview before concluding anything.

Revenue Growth
Research

4Y CAGR

-0.2%

Revenue moved from $2.69B in 2016 to $2.87B in 2025, a 0.7% compound annual growth rate. The most recent year was roughly steady year over year. Slower, mature growth is common for established businesses.

Profitability
0/1 checks passedROIC above 10%

Gross Margin

18.8%

Operating Margin

3.5%

Net Margin

2.9%

ROE

Debt Analysis
Research
2/2 checks passedInterest covered 3×+Short-term bills covered

Total Debt

Net Debt

Net Debt / EBITDA

Debt / Equity

Leverage: debt-to-equity is n/a, and operating profit covers interest about 927.9x, with a current ratio of 2.9x. Detailed balance-sheet leverage is limited for this name.

Cash Flow Analysis
Research

Operating CF

$65.44M

Free Cash Flow

$58.05M

FCF Margin

2.0%

In the latest year PC Connection Inc produced about $65.44M of operating cash flow and $58.05M of free cash flow after capital spending. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.

Dividend Safety

Can the payout survive a bad year? Scored from filed cash flow, earnings coverage, and the raise/cut record.

BorderlineSafety score: 63/100

The dividend is being paid, but coverage or consistency is thinner than an income investor should rely on without a closer look.

Per share (latest FY)

$0.34

Total paid (latest FY)

$15.30M

History on record

10 years

Free-cash-flow coverage100/100

dividend uses 26% of free cash flow

Earnings payout ratio100/100

18% of net income paid out

Raise streak25/100

total dividends increased 2 years in a row

Cut history0/100

payout was cut at least once in the last 10 years

Coverage uses the latest fiscal year as filed with the SEC; the streak counts total dollars paid (per-share figures can carry split artifacts). Educational information, not income advice.

Valuation Analysis
Research
0/1 checks passedTrading below DCF fair value

P/E

P/S

P/B

EV / EBITDA

CNXN trades at n/a trailing earnings. With no positive trailing earnings, value it on sales, cash flow, or growth rather than P/E.

DCF Fair Value (Educational)

A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.

DCF fair value / share

$39.49

Current price

$77.55

-49% · Above fair-value estimate

Starting FCF (latest 10-K)

$58.05M

Growth, years 1–5

4.0%

Fade to terminal, years 6–10

2.5%

Discount rate

9.0%

PV of 10-yr free cash flow$448.65M
PV of terminal value$548.00M
Estimated equity value$996.65M
Shares outstanding25M

Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.

Metrics vs. Sector Range

Where CNXN sits versus its Industrials sector peers in the S&P 500.

TTM P/E
Forward P/E
P/S ratio
Revenue growth
EPS growth
Gross margin
18.8%Weak
Net margin
ROE

Bands show the middle half (25th–75th percentile) of the 144 Industrials companies in the S&P 500 — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.

Sector Peer Comparison

How CNXN stacks up against its Industrials peers — valuation, profitability, and growth versus the sector median.

In the Industrials sector (273 S&P 500 companies), CNXN ranks #169 of 273 by our overall rating.

P/E vs sector

median 31.4x

ROE vs sector

median 18.1%

Growth vs sector

median 6.0%

Sector rank

#169

of 273 by rating

CompanyP/ERev Gr.Rating
CNXNThis stockNot rated
AEISNot rated
AEVANot rated
ALNTNot rated
AMSCNot rated
ARRYNot rated
AVTNot rated
BELFANot rated
Industrials median31.4x6.0%22/100
Compare side by side

Peers are the closest Industrials companies by sub-industry and size. Sector median is across all 273 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$0.00 $0.00

vs. $77.55 today · expected CAGR -5%5%

Metric20262027202820292030
Revenue$3.10B$3.35B$3.62B$3.91B$4.22B
Net income$93.08M$100.52M$108.56M$117.25M$126.63M
EPS$3.69$3.98$4.30$4.65$5.02
Share price (low)$44.26$47.80$51.62$55.75$60.21
Share price (high)$73.76$79.66$86.03$92.92$100.35
CAGR (low–high)-43% / -5%-21% / 1%-13% / 4%-8% / 5%-5% / 5%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for CNXN:

  • As an established S&P 500 member in Industrials, it brings scale and a long operating history.
Bear Case

The case against CNXN:

  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the picture is mixed: PC Connection Inc is a small-cap industrials business growing at a mature pace, with modest profitability, and a heavier debt load to watch. It trades at n/a earnings, which our model scores Unrated (0/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Analyst Ratings

What 6 Wall Street analysts covering CNXN recommend (August 2026). Consensus is a useful sanity check — not a substitute for your own homework.

Sell
consensus · score 2.2 / 5 across 6 analysts
Strong Buy 0Buy 0Hold 3Sell 1Strong Sell 2

Latest SEC Filings

CNXN's most recent filings, straight from SEC EDGAR. Annual and quarterly reports are the deep dives; 8-Ks flag material events the moment they happen.

CNXN — frequently asked questions

Is CNXN a good stock to buy?

We don't give buy or sell advice. Review PC Connection Inc's fundamentals, valuation, and 5-year financials on this page, then make your own decision — and consider a licensed professional.

Where does CNXN's data come from?

Live price data plus real fundamentals and 5-year financials pulled directly from PC Connection Inc's SEC filings — refreshed automatically, not hand-entered.

How is the 5-year projection for CNXN calculated?

It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.

Is this CNXN analysis financial advice?

No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell CNXN. Always do your own research and consider a licensed professional.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.