Original URL: http://www.channelregister.co.uk/2005/05/19/it_distributors_have_compelling_valuations/
IT distributors have 'compelling valuations'
On which planet would that be?
Posted in IT Channel, 19th May 2005 08:46 GMT
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It's tough being a IT distie - managing the drip-drip effect of margin squeeze, of reduced co-op marketing budgets, of vendor consolidation and seeing the month's profits wiped out by a collapsing customer.
So it is nice to see that some disties are coping.
In its latest channel checks, Banc of America writes: "We believe that distributors continue to play a vital role in the supply chain," Forbes.com reports.
The investment house acknowledges that direct marketing companies will grow "organically faster" than the market as a whole and looks for "two-tier distributors to grow organically at around the rate of the broader IT market".
Synnex and Tech Data shares are looking "particularly attractive", following a recent price correction in IT distribution stocks, it says.
More at Forbes.com [1].
Related stories
Irish distie DCC cheers, a bit [2]
Bell Micro sounds a profit [3]
VIP goes ecommerce-tastic [4]
Links
- http://www.forbes.com/markets/2005/05/18/0518automarketscan10.html?partner=theregister
- http://www.channelregister.co.uk/2005/05/16/irsih_disty_shrinks_profits/
- http://www.channelregister.co.uk/2005/04/28/bell_quarter_good/
- http://www.channelregister.co.uk/2005/04/13/vip_computer_centre_upgrades_ecommerce/