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Arrow ElectronicsARW +0.53%86 EV-to-EBIT is 10.21 as of Aug. 21, 2026, which is 1% above its 10-year median of 10.06. GuruFocus rates ARW with a GF Score™ of 86/100 and a GF Value™ of $158.82 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 1,783 Hardware companies, Arrow Electronics ranks better than 72.24% on this metric.
This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.
Arrow Electronics's Enterprise Value for the quarter that ended in Jun. 2026 was $12,878 Mil.
Arrow Electronics's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,227 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Arrow Electronics EV-to-EBIT Related Terms
Arrow Electronics EV-to-EBIT Historical Data
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The historical data trend for Arrow Electronics's EV-to-EBIT can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Electronics & Computer Distribution subindustry, Arrow Electronics's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Arrow Electronics EV-to-EBIT vs Hardware Industry
For the Hardware industry and Technology sector, Arrow Electronics's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Arrow Electronics's EV-to-EBIT falls into.
Arrow Electronics's current Enterprise Value is $12,519 Mil.
Arrow Electronics's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,227 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Arrow Electronics (ARW) has a EV-to-EBIT of 10.21 as of Aug. 21, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Arrow Electronics and its competitors. This is near median its historical median of 10.06. According to the industry distribution chart, Arrow Electronics ranks #495 out of 1783 companies in the Hardware industry, placing it in the top 27.8%.
Is Arrow Electronics' EV-to-EBIT too high?
Arrow Electronics' current EV-to-EBIT of 10.21 is near median its 10-year median of 10.06. The Hardware industry median EV-to-EBIT is 19.84. Arrow Electronics' value of 10.21 is 48.5% below this industry median. Based on the distribution chart, Arrow Electronics ranks #495 out of 1783 companies in the Hardware industry, which is above the industry midpoint. Overall, Arrow Electronics has a GF Score™ of 86/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Arrow Electronics' EV-to-EBIT compare to AVT and NSIT?
According to the Hardware industry distribution chart, Arrow Electronics ranks #495 out of 1783 companies for EV-to-EBIT. This puts Arrow Electronics in the upper half of its industry. The industry median EV-to-EBIT is 19.84. Arrow Electronics' value of 10.21 is 48.5% below this benchmark. While the company's 10-year median is 10.06 vs. the industry median of 19.84, Arrow Electronics has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Hardware company?
The median EV-to-EBIT among Hardware companies is 19.84, based on 1,783 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arrow Electronics's current EV-to-EBIT of 10.21 is 48.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Arrow Electronics and its competitors. For the Hardware industry, the median EV-to-EBIT is 19.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arrow Electronics's current EV-to-EBIT is 10.21, which is near median its own 10-year median of 10.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arrow Electronics stock overvalued right now?
Based on GuruFocus' analysis, Arrow Electronics (ARW) is currently considered Modestly Overvalued. The stock's GF Value™ is $158.82, compared to a current price of $206.64 — trading 30.1% above its estimated fair value. The current EV-to-EBIT is 10.21, which is near median its 10-year median of 10.06 and 48.5% below the Hardware industry median of 19.84. Arrow Electronics' overall GF Score™ is 86/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Arrow Electronics (ARW), the current EV-to-EBIT is 10.21 as of Aug. 21, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Arrow Electronics (ARW) Overvalued in 2026?
Based on GuruFocus' analysis, Arrow Electronics stock appears to be overvalued.
The current stock price of $206.64 is trading 30.1% above its estimated GF Value™ of $158.82.
GuruFocus considers Arrow Electronics to be Modestly Overvalued.
Key valuation signals for ARW:
EV-to-EBIT: 10.21 (near median its 10-year median of 10.06)
GF Value™: $158.82 vs. price of $206.64 (30.1% above fair value)
Industry Position: 48.5% below the Hardware median (#495 of 1783)
No single metric tells the full story. See the ARW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arrow Electronics Inc. is a provider of products, services, and solutions to industrial and commercial users of electronic components and enterprise computing solutions. It has one of the world's broadest portfolios of product offerings available from electronic components and enterprise computing solutions suppliers, coupled with a range of services, solutions, and software, the company helps industrial and commercial customers introduce products, reduce their time to market, and enhance their overall competitiveness. The company has two business segments, the global components business and the global enterprise computing solutions.
86GF Score
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