Needham & Company Assumes Tech Data (TECD) at Hold

Needham & Company assumes coverage on Tech Data (NASDAQ: TECD) with a Hold rating.

Analyst Richard Kugele commented, "While it is tempting to assume coverage of TECD with a Buy vs. a Hold (in the wake of the F2Q miss, guide down and >8% decline in the stock) we believe the multiple required to justify a meaningful price target would significantly exceed the rest of the peer group. However, we also argue that if TECD can drive greater leverage in the Americas and Europe (or if IT spending improves from the ‘flat’ 2H level that industry analysts expect) estimates could rise enough to justify revisiting the TECD story. We assume coverage of TECD with a Hold"

For an analyst ratings summary and ratings history on Tech Data click here. For more ratings news on Tech Data click here.

Shares of Tech Data closed at $80.30 yesterday.

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