Arrow Electronics, Inc. (ARW) Financials
A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Oct 13, 2026; every other figure is from the SEC filings on this page. Not financial advice.
Newest figures come from the 10-Q for Q3 FY2026, filed Aug 6, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the ARW SEC filings page.
Arrow Electronics, Inc. (ARW) reported $35.9B in revenue over the twelve months to Jul 4, 2026, up 26.1% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Arrow's recovery in 2025 restored profit faster than sales, but working capital absorbed cash and kept the model financially demanding.
The clearest earnings-quality break is that operating cash flow fell to$64M in FY2025 from$1.13B in FY2024 even as accounting profit recovered. Accounts receivable rose to$19.7B while free cash flow turned negative at-$37M , tying the cash shortfall to balance-sheet investment rather than reported profitability.
Margin recovery remains incomplete: revenue rebounded in FY2025, but operating margin stayed at
The balance sheet expanded faster than the business's earnings engine: total assets reached
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Arrow Electronics, Inc.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Arrow Electronics, Inc. has an operating margin of 2.7%, meaning the company retains $3 of operating profit per $100 of revenue. This results in a moderate score of 51/100, indicating healthy but not exceptional operating efficiency. This is down from 2.8% the prior year.
Arrow Electronics, Inc.'s revenue grew 10.5% year-over-year to $30.9B, a solid pace of expansion. This earns a growth score of 19/100.
Arrow Electronics, Inc. has elevated debt relative to equity (D/E of 0.47), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 22/100, reflecting increased financial risk.
Arrow Electronics, Inc.'s current ratio of 1.36 indicates adequate short-term liquidity, earning a score of 36/100. The company can meet its near-term obligations, though with limited headroom.
While Arrow Electronics, Inc. generated $64.0M in operating cash flow, capex of $101.3M consumed most of it, leaving -$37.2M in free cash flow. This results in a low score of 30/100, reflecting heavy capital investment rather than weak cash generation.
Arrow Electronics, Inc. earns a strong 8.7% return on equity (ROE), meaning it generates $9 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 66/100. This is up from 6.8% the prior year.
Arrow Electronics, Inc. scores 2.06, placing it in the grey zone between 1.81 and 2.99. This signals moderate financial risk that warrants monitoring.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Arrow Electronics, Inc. passes 5 of 9 financial strength tests. 3 of 4 profitability signals pass, 2 of 3 leverage/liquidity signals pass, neither operating efficiency signal passes.
For every $1 of reported earnings, Arrow Electronics, Inc. generates $0.11 in operating cash flow ($64.0M OCF vs $571.3M net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.
Arrow Electronics, Inc. earns $3.82 in operating income for every $1 of interest expense ($822.2M vs $215.1M). This adequate coverage means the company can meet its interest obligations, but has limited cushion if earnings fall.
Key Financial Metrics
Earnings & Revenue
Arrow Electronics, Inc. generated $10.0B in revenue in Q3 2026. This represents an increase of 29.6% from the same quarter a year earlier. Against the prior quarter it is up 5.5%.
Arrow Electronics, Inc.'s EBITDA was $412.9M in Q3 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 95.0% from the same quarter a year earlier. Against the prior quarter it is up 3.8%.
Arrow Electronics, Inc. reported $272.7M in net income in Q3 2026. This represents an increase of 149.8% from the same quarter a year earlier. Against the prior quarter it is up 16.0%.
Arrow Electronics, Inc. earned $5.26 per diluted share (EPS) in Q3 2026. This represents an increase of 151.7% from the same quarter a year earlier. Against the prior quarter it is up 15.6%.
Cash & Balance Sheet
Arrow Electronics, Inc. generated $297.2M in free cash flow in Q3 2026, representing cash available after capex. This represents an increase of 195.3% from the same quarter a year earlier. Against the prior quarter it is down 55.5%.
Arrow Electronics, Inc. held $244.6M in cash against $2.1B in long-term debt as of Q3 2026, with $28.7B of liabilities due within a year.
Not reported for Q3 2026.
Margins & Returns
Arrow Electronics, Inc.'s gross margin was 11.3% in Q3 2026, indicating the percentage of revenue retained after direct costs. This is up 0.4 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.2 percentage points.
Arrow Electronics, Inc.'s operating margin was 3.8% in Q3 2026, reflecting core business profitability. This is up 1.5 percentage points from the same quarter a year earlier. It is unchanged from the prior quarter.
Arrow Electronics, Inc.'s net profit margin was 2.7% in Q3 2026, showing the share of revenue converted to profit. This is up 1.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.3 percentage points.
Arrow Electronics, Inc.'s ROE was 3.9% in Q3 2026, measuring profit generated per dollar of shareholder equity. This is up 2.2 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.4 percentage points.
Capital Allocation
Arrow Electronics, Inc. spent $41.9M on share buybacks in Q3 2026, returning capital to shareholders by reducing shares outstanding. This represents an increase of 6543.7% from the same quarter a year earlier. Against the prior quarter it is up 25.7%.
Arrow Electronics, Inc. invested $21.1M in capex in Q3 2026, funding long-term assets and infrastructure. This represents a decrease of 30.2% from the same quarter a year earlier. Against the prior quarter it is down 34.2%.
Not reported for Q3 2026.
ARW Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q3'2610-Q | Q2'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $10.0B+29.6% | $9.5B+25.0% | $8.7B+20.1% | $7.7B+13.0% | $7.6B+10.0% | $6.8B-1.6% | $7.3B-7.2% | $6.8B-14.8% |
| Cost of Revenue | $8.9B+28.9% | $8.4B+24.5% | $7.7B+19.4% | $6.9B+13.9% | $6.7B+11.3% | $6.0B-0.4% | $6.5B-5.5% | $6.0B-14.1% |
| Gross Profit | $1.1B+34.7% | $1.1B+28.5% | $1.0B+25.6% | $835.3M+6.4% | $848.7M+0.3% | $774.0M-9.8% | $803.3M-18.8% | $784.8M-19.9% |
| SG&A Expenses | $688.1M+17.1% | $656.1M+9.2% | $639.5M+16.8% | $587.9M+10.0% | $601.0M+8.8% | $562.3M-3.6% | $547.5M-7.2% | $534.5M-5.1% |
| Operating Income | $377.3M+110.8% | $361.6M+89.7% | $294.1M+50.7% | $179.0M+2.1% | $190.6M-10.2% | $158.6M-14.7% | $195.1M-38.4% | $175.3M-48.5% |
| EBITDA | $412.9M+95.0% | $397.7M+76.1% | $328.1M+39.8% | $211.8M-1.9% | $225.7M-10.9% | $194.4M-14.6% | $234.7M-34.8% | $215.9M-43.9% |
| Interest Expense | -$37.3M+32.0% | -$48.5M+19.6% | -$43.8M+27.5% | -$54.9M+12.8% | -$60.3M+9.9% | -$56.2M+29.4% | -$60.4M+26.4% | -$62.9M+23.4% |
| Income Tax | $80.3M+311.3% | $71.2M+55.1% | $59.4M+106.2% | $19.5M+28.5% | $45.9M+54.3% | $23.3M+5.9% | $28.8M-46.5% | $15.2M-70.9% |
| Net Income | $272.7M+149.8% | $235.1M+25.2% | $194.6M+96.2% | $109.2M+8.6% | $187.7M+72.7% | $79.7M-4.6% | $99.2M-49.0% | $100.6M-49.4% |
| EPS (Basic) | $5.32+152.1% | $4.58+26.5% | $3.78+101.1% | $2.11+11.1% | $3.62+78.3% | $1.53-0.6% | $1.88-47.8% | $1.90-46.8% |
| EPS (Diluted) | $5.26+151.7% | $4.55+26.7% | $3.74+100.0% | $2.09+11.2% | $3.59+78.6% | $1.51-1.3% | $1.87-47.5% | $1.88-46.7% |
| Diluted Shares (Avg) | 52M-0.5% | 52M-1.2% | N/A | 52M-2.5% | 52M-3.4% | 53M-3.9% | N/A | 53M-5.0% |
Not reported in any period shown, so not listed: R&D Expenses.
ARW Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q3'2610-Q | Q2'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $38.4B+56.5% | $36.0B+48.2% | $29.1B+33.6% | $24.5B+17.2% | $24.3B+20.6% | $21.4B+5.6% | $21.8B+0.1% | $20.9B+1.4% |
| Current Assets | $35.0B+65.5% | $32.6B+56.2% | $25.7B+39.4% | $21.1B+20.6% | $20.8B+24.3% | $18.0B+6.7% | $18.4B+0.4% | $17.5B+1.3% |
| Cash & Equivalents | $244.6M+14.5% | $286.5M+29.1% | $306.5M+62.3% | $213.6M-13.9% | $222.0M+4.2% | $231.9M-4.5% | $188.8M-13.4% | $248.0M-25.6% |
| Short-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Inventory | $5.9B+25.6% | $5.7B+20.5% | $5.1B+7.9% | $4.7B+4.4% | $4.7B+2.0% | $4.8B0.0% | $4.7B-9.2% | $4.5B-22.0% |
| Accounts Receivable | $28.0B+78.9% | $26.0B+70.0% | $19.7B+51.5% | $15.7B+33.5% | $15.3B+40.3% | $12.4B+12.3% | $13.0B+6.5% | $11.7B+10.0% |
| Long-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Goodwill | $2.1B-0.4% | $2.1B-0.7% | $2.1B+3.2% | $2.1B+1.6% | $2.1B+3.5% | $2.1B+1.2% | $2.1B+0.2% | $2.1B+3.1% |
| Total Liabilities | $31.4B+73.1% | $29.2B+63.0% | $22.5B+40.6% | $18.1B+21.1% | $17.9B+24.7% | $15.5B+6.3% | $16.0B+0.5% | $15.0B-1.2% |
| Current Liabilities | $28.7B+99.0% | $26.3B+75.5% | $18.8B+49.1% | $14.4B+20.6% | $15.0B+32.3% | $12.6B+10.9% | $12.6B-4.2% | $12.0B+0.3% |
| Non-Current Liabilities | $2.6B-28.6% | $2.9B-0.5% | $3.6B+8.6% | $3.7B+22.8% | $2.9B-3.5% | $2.9B-10.3% | $3.4B+23.0% | $3.0B-6.7% |
| Long-Term Debt | $2.1B-34.2% | $2.4B-0.6% | $3.1B+11.2% | $3.1B+32.0% | $2.4B-4.6% | $2.3B-12.1% | $2.8B+28.8% | $2.4B-9.6% |
| Total Equity | $7.0B+9.4% | $6.7B+6.4% | $6.6B+14.3% | $6.4B+7.3% | $6.3B+10.3% | $5.9B+4.0% | $5.8B-0.8% | $6.0B+8.7% |
| Retained Earnings | $7.1B+11.0% | $6.8B+8.6% | $6.6B+9.6% | $6.4B+4.5% | $6.2B+4.4% | $6.1B+3.2% | $6.0B+3.3% | $6.1B-38.7% |
ARW Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q3'2610-Q | Q2'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $318.3M+213.0% | $699.8M+439.9% | $199.9M-38.8% | -$281.7M-449.7% | -$205.9M-164.3% | $351.7M-12.8% | $326.5M+13.9% | $80.6M-75.0% |
| Depreciation & Amortization | $35.6M+8.6% | $36.1M+2.5% | $34.0M-14.3% | $32.8M-19.2% | $35.2M-14.3% | $35.8M-14.2% | $39.6M-8.2% | $40.6M-9.8% |
| Stock-Based Compensation | N/A | $9.6M | N/A | N/A | N/A | $18.6M+38.0% | N/A | N/A |
| Capital Expenditures | $21.1M-30.2% | $32.1M+72.5% | $27.4M+21.4% | $30.3M+63.5% | $18.6M-15.8% | $25.0M-15.4% | $22.5M-11.6% | $18.5M-10.4% |
| Free Cash Flow | $297.2M+195.3% | $667.6M+397.4% | $172.6M-43.2% | -$312.0M-602.8% | -$224.5M-175.3% | $326.7M-12.6% | $303.9M+16.3% | $62.0M-79.4% |
| Investing Cash Flow | -$21.1M+30.2% | -$32.1M-130.2% | -$27.4M+33.9% | -$30.3M-286.1% | $106.2M+611.1% | -$25.0M-2.4% | -$41.4M-62.4% | -$7.8M+62.1% |
| Financing Cash Flow | -$332.1M-208.3% | -$648.7M-778.6% | -$96.7M+52.0% | $306.5M+354.4% | -$73.8M+76.7% | -$342.1M-7.7% | -$201.4M+55.4% | -$120.5M+23.1% |
| Share Buybacks | $41.9M+6543.7% | $33.3M-34.4% | $50.9M+0.2% | $630K-98.8% | $50.7M-32.7% | $59.4M-32.4% | $50.8M+0.6% | $51.1M-74.9% |
Not reported in any period shown, so not listed: Dividends Paid.
ARW Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q3'2610-Q | Q2'2610-Q | Q4'2510-Q | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 11.3%+0.4pp | 11.5%+0.3pp | 11.5%+0.5pp | 10.8%-0.7pp | 11.2%-1.1pp | 11.4%-1.0pp | 11.0%-1.6pp | 11.5%-0.7pp |
| Operating Margin | 3.8%+1.5pp | 3.8%+1.3pp | 3.4%+0.7pp | 2.3%-0.3pp | 2.5%-0.6pp | 2.3%-0.4pp | 2.7%-1.4pp | 2.6%-1.7pp |
| Net Margin | 2.7%+1.3pp | 2.5%0.0pp | 2.2%+0.9pp | 1.4%0.0pp | 2.5%+0.9pp | 1.2%0.0pp | 1.4%-1.1pp | 1.5%-1.0pp |
| Return on Equity | 3.9%+2.2pp | 3.5%+0.5pp | 3.0%+1.2pp | 1.7%0.0pp | 3.0%+1.1pp | 1.4%-0.1pp | 1.7%-1.6pp | 1.7%-1.9pp |
| Return on Assets | 0.7%+0.3pp | 0.7%-0.1pp | 0.7%+0.2pp | 0.4%0.0pp | 0.8%+0.2pp | 0.4%0.0pp | 0.5%-0.4pp | 0.5%-0.5pp |
| Current Ratio | 1.22-0.2x | 1.24-0.2x | 1.36-0.1x | 1.460.0x | 1.39-0.1x | 1.43-0.1x | 1.46+0.1x | 1.460.0x |
| Debt-to-Equity | 0.29-0.2x | 0.350.0x | 0.470.0x | 0.49+0.1x | 0.37-0.1x | 0.39-0.1x | 0.48+0.1x | 0.40-0.1x |
| Asset Turnover | 0.26-0.1x | 0.260.0x | 0.300.0x | 0.310.0x | 0.310.0x | 0.320.0x | 0.330.0x | 0.33-0.1x |
| FCF Margin | 3.0%+7.0pp | 7.0%+10.0pp | 2.0%-2.2pp | -4.0%-5.0pp | -3.0%-7.3pp | 4.8%-0.6pp | 4.2%+0.8pp | 0.9%-2.9pp |
Similar Companies
Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it.
| Company | Fiscal year | Revenue | Net income | Net margin | Market cap | Health score |
|---|---|---|---|---|---|---|
| Arrow Electronics, Inc. ARW | FY2025 | $30.9B | $571.3M | 1.8% | $11.5B | 37/100 |
| Avnet, Inc. AVT | FY2026 | $27.6B | $334.4M | 1.2% | $8.0B | 42/100 |
| Insight Enterprises Inc NSIT | FY2025 | $8.2B | $157.3M | 1.9% | $4.9B | 42/100 |
| TD SYNNEX Corporation SNX | FY2025 | $62.5B | $827.7M | 1.3% | $21.8B | 48/100 |
| Scansource Inc SCSC | FY2026 | $3.2B | $78.9M | 2.4% | $1.2B | 55/100 |
| PC Connection Inc CNXN | FY2025 | $2.9B | $83.7M | 2.9% | $2.4B | 58/100 |
Where Arrow Electronics, Inc. Ranks
Frequently Asked Questions
What is Arrow Electronics, Inc.'s annual revenue?
Arrow Electronics, Inc. (ARW) reported $30.9B in total revenue for fiscal year 2025. This represents a 10.5% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Arrow Electronics, Inc.'s revenue growing?
Arrow Electronics, Inc. (ARW) revenue grew by 10.5% year-over-year, from $27.9B to $30.9B in fiscal year 2025.
Is Arrow Electronics, Inc. profitable?
Yes, Arrow Electronics, Inc. (ARW) reported a net income of $571.3M in fiscal year 2025, with a net profit margin of 1.8%.
What is Arrow Electronics, Inc.'s EBITDA?
Arrow Electronics, Inc. (ARW) had EBITDA of $960.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Arrow Electronics, Inc. have?
As of fiscal year 2025, Arrow Electronics, Inc. (ARW) had $306.5M in cash and equivalents against $3.1B in long-term debt.
What is Arrow Electronics, Inc.'s gross margin?
Arrow Electronics, Inc. (ARW) had a gross margin of 11.2% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Arrow Electronics, Inc.'s operating margin?
Arrow Electronics, Inc. (ARW) had an operating margin of 2.7% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Arrow Electronics, Inc.'s net profit margin?
Arrow Electronics, Inc. (ARW) had a net profit margin of 1.8% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Arrow Electronics, Inc.'s return on equity (ROE)?
Arrow Electronics, Inc. (ARW) has a return on equity of 8.7% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Arrow Electronics, Inc.'s free cash flow?
Arrow Electronics, Inc. (ARW) recorded an outflow of $37.2M in free cash flow during fiscal year 2025. This represents a -103.6% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Arrow Electronics, Inc.'s operating cash flow?
Arrow Electronics, Inc. (ARW) generated $64.0M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Arrow Electronics, Inc.'s total assets?
Arrow Electronics, Inc. (ARW) had $29.1B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Arrow Electronics, Inc.'s capital expenditures?
Arrow Electronics, Inc. (ARW) invested $101.3M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is Arrow Electronics, Inc.'s current ratio?
Arrow Electronics, Inc. (ARW) had a current ratio of 1.36 as of fiscal year 2025, which is considered adequate.
What is Arrow Electronics, Inc.'s debt-to-equity ratio?
Arrow Electronics, Inc. (ARW) had a debt-to-equity ratio of 0.47 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Arrow Electronics, Inc.'s return on assets (ROA)?
Arrow Electronics, Inc. (ARW) had a return on assets of 2.0% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Arrow Electronics, Inc.'s P/E ratio?
Arrow Electronics, Inc. (ARW) trades at 14.2x earnings, its market capitalization divided by net income of $811.6M net income, trailing 12 months to July 4, 2026. The market capitalization is $11.5B as of Oct 13, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Arrow Electronics, Inc.'s price-to-sales ratio?
Arrow Electronics, Inc. (ARW) trades at 0.3x sales, its market capitalization divided by revenue of $35.9B revenue, trailing 12 months to July 4, 2026. The market capitalization is $11.5B as of Oct 13, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Arrow Electronics, Inc.'s Altman Z-Score?
Arrow Electronics, Inc. (ARW) has an Altman Z-Score of 2.06, placing it in the Grey Zone (moderate risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Arrow Electronics, Inc.'s Piotroski F-Score?
Arrow Electronics, Inc. (ARW) has a Piotroski F-Score of 5 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Arrow Electronics, Inc.'s earnings high quality?
Arrow Electronics, Inc. (ARW) has an earnings quality ratio of 0.11x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Arrow Electronics, Inc. cover its interest payments?
Arrow Electronics, Inc. (ARW) has an interest coverage ratio of 3.82x, meaning it can adequately cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Arrow Electronics, Inc.?
Arrow Electronics, Inc. (ARW) scores 37 out of 100 on our Financial Health Score, indicating weak standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.