Avnet Inc

Avnet declared a quarterly dividend of $0.37 per share, a 5.7% increase from the prior dividend of $0.35. The dividend is payable on September 23 to shareholders of record on September 9, with the ex-dividend date also September 9. The forward yield is 1.7%.

DEEPX has expanded its commercial distribution network across the Asia-Pacific region through a strategic partnership with global technology distributor Avnet. The agreement builds on a Master Distributor Agreement signed with Avnet Europe BV last year and now enables Avnet Asia and its affiliates to distribute DEEPX products across 15 major APAC markets, including South Korea, Japan, China, Singapore, and key Southeast Asian markets. The collaboration aims to accelerate adoption of DEEPX's ultra-low-power on-device AI semiconductors in physical AI markets such as smart factories, robotics, autonomous vehicles, and smart cities. Joint marketing initiatives and technical seminars began on July 10 alongside Avnet's Edge AI & Beyond Tech Days 2026 events in Singapore and Vietnam. DEEPX CEO Lokwon Kim stated that scaling physical AI requires a complete ecosystem including software, support, and supply chain, and the expanded collaboration will apply European customer development experience to Asian markets.

Avnet shares have jumped 81.5% year to date, outpacing the Zacks Electronics - Parts Distribution industry's 63% gain. The company reported fiscal third-quarter revenue of $7.1 billion, up 34% year over year, driven by strong demand in AI infrastructure, networking, and industrial markets. Management noted that direct exposure to AI and data center customers has grown to nearly 10-15% of the business, up from 5-7% previously. Avnet expects fourth-quarter revenue between $7.3 billion and $7.6 billion, and the Zacks Consensus Estimate for fiscal 2026 revenue stands at $25.59 billion. Despite the rally, the stock trades at a price-to-sales multiple of 0.27, below the industry's 0.39, and carries a Zacks Rank of 2, or Buy.

Arrow Electronics and Avnet are highlighted as potentially undervalued stocks by Zacks Investment Research, based on their value metrics and earnings outlook. Arrow Electronics holds a Zacks Rank #1 (Strong Buy) and a Value grade of A, with a P/E ratio of 9.44 compared to its industry average of 14.76, a PEG ratio of 0.46 versus an industry average of 0.49, a P/B ratio of 0.98 against an industry average of 2.13, a P/S ratio of 0.32 compared to an industry average of 0.48, and a P/CF ratio of 9.63 versus an industry average of 18.54. Avnet, also in the Electronics - Parts Distribution industry, carries a Zacks Rank #2 (Buy) and a Value grade of A, with a forward P/E of 10.47, a PEG ratio of 0.36, and a P/B ratio of 0.89. Both companies' current valuations and strong earnings outlooks make them stand out as top value picks.

Zacks Investment Research added five stocks to its Zacks Rank Number 1 Strong Buy list on June 30th. Fomento Económico Mexicano, a beverage bottling company, saw its current-year earnings consensus estimate increase 18.5% over the last 60 days. Avnet, an electronic components company, had its estimate rise 10.8%. Tilly's, a specialty retailer, experienced a 64.7% increase. Reddit, an online community platform, saw a 21.4% rise. Hamilton Insurance Group, an insurance and reinsurance company, also had an 18.5% increase.