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Shares of Systemax Inc Rank the Lowest in Terms of EV/EBITDA Ratio in the Technology Distributors Industry (SYX, ARW, SNX, TECD, AXE)

By Amy Schwartz

Below are the three companies in the Technology Distributors industry with the lowest enterprise value to EBITDA (EV/EBITDA) ratios. EV/EBITDA is an important metric used in valuing comparable companies. It is capital structure neutral and generally the lower the ratio, the more undervalued the company is believed to be.

Systemax Inc ranks lowest with a an EV/EBITDA ratio of 6.92. Following is Arrow Electronic with a an EV/EBITDA ratio of 7.56. Synnex Corp ranks third lowest with a an EV/EBITDA ratio of 7.61.

Tech Data Corp follows with a an EV/EBITDA ratio of 7.98, and Anixter Intl Inc rounds out the bottom five with a an EV/EBITDA ratio of 8.29.

SmarTrend recommended that its subscribers protect gains by selling shares of Systemax Inc on December 21st, 2018 by issuing a Downtrend alert when the shares were trading at $24.58. Since that call, shares of Systemax Inc have fallen 14.1%. We are now looking for when a new Uptrend will commence and will alert SmarTrend subscribers in real time.

Keywords: lowest ev/ebitda ratio systemax inc arrow electronic synnex corp tech data corp anixter intl inc