Post-earnings recap
Reported
Thu, Aug 6, 2026
EPS actual
$5.45
EPS est.
$4.45
EPS surprise
+22.47%
1-day move
-2.01%
Arrow Electronics reported strong earnings, beating EPS expectations significantly. Despite the positive results, the stock fell by 2.01%, likely due to profit-taking or market reactions to broader economic conditions. The company's strong revenue growth and increased operating margin indicate solid demand and operational improvements, positioning them well for the upcoming quarter.
| Metric | Actual | Expected | Surprise |
|---|---|---|---|
| EPS | $5.45 | $4.45 | +22.47% |
| Revenue | $10B | $9.5B | N/A |
| Operating Margin | 4% | N/A | +120 bps |
| ECS Backlog | 75% YoY increase | N/A | N/A |
Management expressed confidence in the company's performance, highlighting strong demand and operational efficiency as key drivers. They provided a positive outlook for Q3 revenue, indicating continued growth.
Revenue increased 32% YoY, exceeding our guidance.
Non-GAAP EPS rose 124% YoY, driven by strong demand and operational efficiency.
We expect Q3 revenue to be between $9.6B and $10.2B, reflecting a solid growth outlook.
Arrow Electronics, Inc. is a major player in the information technology sector, specializing in technology distribution. The company plays a critical role in the supply chain for electronic components and solutions, which are essential for various industries, including cloud computing and consumer electronics.
Last quarter
In Q1-2026, Arrow Electronics reported an impressive EPS of $5.22, significantly beating estimates by over 85%. However, the stock experienced a slight decline the following day.
Management promises and guidance
EPS beat streak
8Q
EPS beat rate
100%
Avg EPS surprise
+24.58%
Avg 1-day reaction
-3.69%
Analysts are generally optimistic about Arrow's upcoming earnings, expecting solid performance based on previous results. However, the market remains cautious due to potential volatility.
Bull case
If Arrow meets or exceeds the EPS and revenue expectations, it could reinforce investor confidence and lead to a positive stock reaction.
Bear case
Conversely, if the company fails to meet expectations, especially in a challenging economic environment, it could lead to a significant stock decline.
Key metrics to watch
EPS
$4.45Earnings per share is a key indicator of profitability and financial health, which investors closely watch.
Revenue
$9.5BRevenue figures provide insight into the company's sales performance and market demand for its products.
The print will turn on these.
Q1
Will Arrow Electronics achieve an EPS of $4.45 or better?
This figure is crucial as it sets the tone for investor sentiment and could impact stock performance significantly.
Q2
How does Arrow's revenue of $9.5B compare to previous quarters?
Revenue growth is a key indicator of market demand and operational success, which investors will closely evaluate.
—
Est. EPS
$0.31
Est. Rev
$300M
Impl. Move
±34.2%
Why consensus could be wrong
The consensus may underestimate Arrow's ability to leverage its strong customer relationships to drive unexpected revenue growth this quarter.
Supporting evidence
The company has consistently beaten EPS estimates, indicating a potential for continued strong performance.
Options pricing suggests a significant move, which may reflect market uncertainty rather than a lack of confidence in Arrow's fundamentals.
Key risk
If Arrow reports revenue significantly above $9.5B, it could challenge the current bearish sentiment.
Pre-commit to what would confirm each case.
The market is weighing Arrow's ability to sustain its growth trajectory amidst economic uncertainties.
Bull confirmed if
Achieving an EPS of $4.45 or higher with revenue exceeding $9.5B would confirm the bullish outlook.
Bear confirmed if
An EPS below $4.42 or revenue falling short of $9.5B would support the bearish case.
What the market is pricing for the move.
Implied Move
±18.24%
Historical Avg
±4.6%
The options market is pricing in a substantial move, indicating that traders anticipate potential volatility around the earnings announcement.
Options are pricing ±18.2% while ARW has averaged ±4.6% over the last 8 prints — setup is pricing rich.
ATM IV
0.4%
30d HV
31.0%
Smart-money positioning from the most recent 13F filings.
Institutional
105.62%
of float
Insider
0.53%
of float
Holders
810
institutions
Top Holders· as of Jun 2026
Blackrock Inc.
5,016,324 sh · $1.2B
9.85%
1.6%
Likely market behavior by outcome. Not investment advice.
Beat & raise
If Arrow beats expectations, history suggests the stock could rise, potentially reflecting a positive outlook for future quarters.
In line / cautious
If results are in line but management's commentary is cautious, the stock may see muted reactions as investors reassess growth prospects.
Miss
Should Arrow miss expectations, history indicates a potential decline in stock value, reflecting investor disappointment.
The lines on the call that would change the story.
Dimensional Fund Advisors LP
3,042,032 sh · $705.8M
5.98%
1.1%
Vanguard Portfolio Management LLC
2,994,125 sh · $694.6M
5.88%
-6.4%
Vanguard Capital Management LLC
2,320,016 sh · $538.2M
4.56%
1.2%
AQR Capital Management, LLC
2,182,413 sh · $506.3M
4.29%
27.1%
13F filings updated quarterly. Position deltas show change in shares vs. the prior quarter.