Arrow Electronics, Inc.

AI-generated fair value estimate for this company.

Method: 10-year unlevered FCF DCF: $500M normalized FCF base (blending -$37.2M FY2025 and $1,038M FY2024 reported FCF); 4% growth yrs1-5, 3% yrs6-10; 9% discount rate; 2.5% terminal growth; less $1,926M net debt; 50.91M shares outstanding.

Reasoning: Arrow Electronics is a low-margin technology distributor whose FCF swings heavily with working-capital and component-cycle timing; a normalized multi-year average FCF is used rather than a single volatile year, producing a value below the current market price, which appears to reward buyback activity and cycle-trough recovery expectations.